Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 181 (2019GS)

Sponsor

Rep. King, Brian S.

Final action

Governor Signed 4/2/2019

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• defines terms;
• establishes rulemaking authority for the Department of Workforce Services;
• modifies a deadline for providing information required in a participation agreement;
• modifies a deadline for determining whether an employer has met the requirements of a participation agreement; and
• makes technical changes.

Every vote on this bill

Bill text

TAX CREDIT AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Brian S. King
Senate Sponsor: 
Karen Mayne
LONG TITLE
General Description:
This bill modifies provisions related to the Tax Credit for Employment of Persons Who
Are Homeless Act.
Highlighted Provisions:
This bill:
▸ defines terms;
▸ establishes rulemaking authority for the Department of Workforce Services;
▸ modifies a deadline for providing information required in a participation agreement;
▸ modifies a deadline for determining whether an employer has met the requirements
of a participation agreement; and
▸ makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
35A-5-302
, as enacted by Laws of Utah 2014, Chapter 315
35A-5-303
, as enacted by Laws of Utah 2014, Chapter 315
35A-5-304
, as enacted by Laws of Utah 2014, Chapter 315
35A-5-305
, as enacted by Laws of Utah 2014, Chapter 315
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
35A-5-302
 is amended to read:
35A-5-302.
Definitions.
As used in this part:
(1) "Date of hire" means the date a person who is homeless first performs labor or
services for compensation for an employer.
(2) "Governmental entity" is as defined in Section 
59-2-511
.
(3) "Permanent housing, permanent supportive, or transitional facility" means a
facility:
(a) located within the state;
(b) that provides supervision of residents of the facility; and
(c) that is:
(i) a publicly or privately operated shelter:
(A) designed to provide temporary living accommodations, including a welfare hotel,
congregate shelter, or transitional housing for the mentally ill; and
(B) that receives federal homeless assistance funding distributed by the United States
Department of Housing and Urban Development; or
(ii) an emergency shelter that receives homeless assistance funding from a county, city,
or town.
(4) "Person who is homeless" means an individual whose primary nighttime residence
is [
a permanent housing, permanent supportive, or transitional facility.
]
:
(a) a public or private place not designated for or ordinarily used as a regular sleeping
accommodation for an individual, including a car, park, abandoned building, bus station, train
station, airport, or camping ground; or
(b) a publicly or privately operated shelter designated to provide temporary living
arrangements, including a permanent housing, permanent supportive, or transitional facility.
(5) "Wage requirement" means that an employer pays a person who is homeless $4,000
or more in wages during a time period that:
(a) begins on the date of hire; and
(b) ends no later than two calendar quarters after the calendar quarter in which the date
of hire occurs.
Section 2. Section 
35A-5-303
 is amended to read:
35A-5-303.
Application for tax credit certificate.
(1) An employer who employs a person who is homeless and seeks to receive a tax
credit certificate under this part shall file an application with the department with respect to
each person who is homeless that the employer employs.
(2) The application shall be on a form the department provides to the employer.
(3) The application shall require the employer to certify that:
(a) the person who [
is homeless who
] the employer employs:
(i) [
on the date of hire, has a primary nighttime residence at a permanent housing,
permanent supportive, or transitional facility
] 
met the definition of a person who is homeless
on the date of hire or at any time during the 60-day period immediately before the date of hire
;
(ii) is an employee, and not an independent contractor, of the employer;
(iii) is legally eligible to work in the United States; and
(iv) has not worked for the employer for more than 40 hours during the 60-day period
immediately [
preceding
] 
before
 the date of hire; and
(b) the employer:
(i) complies with all state, federal, or local requirements related to the employment of
the person who is homeless; and
(ii) is not a governmental entity.
(4) The application:
(a) shall list, for each person who is homeless that the employer employs:
(i) the person's name;
(ii) the person's [
Social Security
] 
social security
 number; and
(iii) the person's current address;
(b) shall list the employer's federal employer identification number; and
(c) may require additional information as determined by the department.
(5) An employer shall provide documentation to the department to support the
certifications and other information the employer provides in the application described in this
section.
(6) If the department determines that, on the basis of the documentation and other
information the employer provides, the employer has satisfied the certification requirements of
Subsection (3) and provided the information described in Subsection (4), the department shall
enter into a participation agreement with the employer as provided in Section 
35A-5-304
 for
each person who is homeless who the employer employs.
(7) If the department determines that, on the basis of the documentation and other
information the employer provides, the employer has not satisfied the certification
requirements of Subsection (3) or provided the information described in Subsection (4), the
department:
(a) shall deny the application; or
(b) inform the employer that the documentation the employer provided is inadequate
and request the employer to submit new or additional documentation.
(8) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, and
consistent with the provisions of this part, the department may make rules governing the
administration of the tax credit described in this part.
Section 3. Section 
35A-5-304
 is amended to read:
35A-5-304.
Participation agreements.
(1) If the department enters into a participation agreement with an employer, the
participation agreement shall:
(a) be provided by the department; and
(b) establish the requirements the employer is required to meet to be eligible to receive
a tax credit certificate, including:
(i) requiring the employer to meet the certification requirements of Subsection
35A-5-303
(3);
(ii) requiring the employer to provide written notice to the department [
within 10 days
after the date
] 
when
 the employer meets the wage requirement; and
(iii) requiring the employer to provide documentation or other information the
department requests:
(A) to establish the hours and dates that the person who is homeless works for the
employer; and
(B) to support the employer's eligibility to receive a tax credit certificate under this
part.
(2) An agreement under this section does constitute a right to receive a tax credit
certificate under this part.
Section 4. Section 
35A-5-305
 is amended to read:
35A-5-305.
Tax credit certificate.
(1) An employer shall provide written notice to the department [
within 10 days after
the date the employer meets the wage requirement
] as provided in the participation agreement
described in Section 
35A-5-304
.
(2) The department shall determine whether an employer has met the requirements of
the participation agreement under Section 
35A-5-304
 to receive a tax credit certificate[
:(a)
]
after the employer provides the written notice described in Subsection (1) to the department[
;
and
]
.
[
(b) no later than 60 days after the date that the employer provides the department
unemployment insurance wage information:
]
[
(i) for the person who is homeless;
]
[
(ii) as required by Subsection 
35A-4-305
(8); and
]
[
(iii) for each calendar quarter during which the employer pays wages to meet the wage
requirement.
]
(3) Subject to the other provisions of this section, if the department determines that an
employer has met the requirements of the participation agreement under Section 
35A-5-304
 to
receive a tax credit certificate, the department may issue a tax credit certificate to the employer.
(4) A tax credit certificate under this section:
(a) shall list the amount of tax credit allowable for the taxable year in an amount that
does not exceed $2,000;
(b) shall list the name and federal employer number of the employer;
(c) shall list the name, Social Security identification number, and current address of the
person who is homeless with respect to whom the employer has met the wage requirement; and
(d) may include any other information required by the department.
(5) Subject to Subsections (6) and (7), the department shall issue tax credit certificates
under this section in the order that the department receives the written notice described in
Subsection (1).
(6) The department may not issue tax credit certificates that total more than $100,000
in a fiscal year.
(7) (a) Subject to Subsection (7)(b), if the department would have issued tax credit
certificates that total more than $100,000 in a fiscal year but for the limit provided in
Subsection (6), the department shall issue the tax credit certificates that exceed $100,000 in the
next fiscal year.
(b) If the department issues tax credit certificates in accordance with Subsection (7)(a):
(i) the tax credit certificates may not total more than $100,000; and
(ii) the department may not issue tax credit certificates for an amount that exceeds the
limit described in Subsection (7)(b)(i) in a future fiscal year.
(8) The department shall provide a copy of a tax credit certificate the department issues
under this section to the State Tax Commission.