Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 269 First Substitute (2019GS)

Sponsor

Sen. Stevenson, J.

Final action

Governor Signed 4/1/2019

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• defines terms;
• modifies the Military Installation Development Authority's ability to petition for annexation of certain areas;
• includes the Military Installation Development Authority as a local authority for purposes of a premises that is located within a project area and licensed by the Department of Alcoholic Beverage Control;
• addresses the exchange of real property between the Military Installation Development Authority and the Department of Transportation for purposes of constructing an interchange;
• provides limitations on challenges to a project area plan or a project area;
• extends an authorization for the Military Installation Development Authority to receive a portion of the property tax allocation;
• provides that certain property owned by the Military Installation Development Authority is not subject to property tax or privilege tax;
• extends to the Military Installation Development Authority the applicability of provisions relating to tax credit incentives for economic development; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

MILITARY DEVELOPMENT AUTHORITY
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Jerry W. Stevenson
House Sponsor: 
Val L. Peterson
LONG TITLE
General Description:
This bill modifies provisions related to the Military Installation Development Authority.
Highlighted Provisions:
This bill:
▸ defines terms;
▸ modifies the Military Installation Development Authority's ability to petition for
annexation of certain areas;
▸ includes the Military Installation Development Authority as a local authority for
purposes of a premises that is located within a project area and licensed by the
Department of Alcoholic Beverage Control;
▸ addresses the exchange of real property between the Military Installation
Development Authority and the Department of Transportation for purposes of
constructing an interchange;
▸ provides limitations on challenges to a project area plan or a project area;
▸ extends an authorization for the Military Installation Development Authority to
receive a portion of the property tax allocation;
▸ provides that certain property owned by the Military Installation Development
Authority is not subject to property tax or privilege tax;
▸ extends to the Military Installation Development Authority the applicability of
provisions relating to tax credit incentives for economic development; and
▸ makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a coordination clause.
Utah Code Sections Affected:
AMENDS:
10-2-402
, as last amended by Laws of Utah 2017, Chapter 367
32B-1-102
, as last amended by Laws of Utah 2018, Chapters 249 and 313
63H-1-102
, as last amended by Laws of Utah 2018, Chapter 442
63H-1-202
, as last amended by Laws of Utah 2015, Chapter 377
63H-1-302
, as last amended by Laws of Utah 2018, Chapter 442
63H-1-403
, as last amended by Laws of Utah 2013, Chapter 362
63H-1-501
, as last amended by Laws of Utah 2018, Chapter 442
63N-2-103
, as last amended by Laws of Utah 2016, Chapter 350
ENACTS:
63H-1-206
, Utah Code Annotated 1953
Utah Code Sections Affected by Coordination Clause:
63N-2-103
, as last amended by Laws of Utah 2016, Chapter 350
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
10-2-402
 is amended to read:
10-2-402.
Annexation -- Limitations.
(1) (a) A contiguous, unincorporated area that is contiguous to a municipality may be
annexed to the municipality as provided in this part.
(b) An unincorporated area may not be annexed to a municipality unless:
(i) it is a contiguous area;
(ii) it is contiguous to the municipality;
(iii) annexation will not leave or create an unincorporated island or unincorporated
peninsula:
(A) except as provided in Subsection 
10-2-418
(3); or
(B) unless the county and municipality have otherwise agreed; and
(iv) for an area located in a specified county with respect to an annexation that occurs
after December 31, 2002, the area is within the proposed annexing municipality's expansion
area.
(2) Except as provided in Section 
10-2-418
, a municipality may not annex an
unincorporated area unless a petition under Section 
10-2-403
 is filed requesting annexation.
(3) (a) An annexation under this part may not include part of a parcel of real property
and exclude part of that same parcel unless the owner of that parcel has signed the annexation
petition under Section 
10-2-403
.
(b) A piece of real property that has more than one parcel number is considered to be a
single parcel for purposes of Subsection (3)(a) if owned by the same owner.
(4) A municipality may not annex an unincorporated area in a specified county for the
sole purpose of acquiring municipal revenue or to retard the capacity of another municipality to
annex the same or a related area unless the municipality has the ability and intent to benefit the
annexed area by providing municipal services to the annexed area.
(5) The legislative body of a specified county may not approve urban development
within a municipality's expansion area unless:
(a) the county notifies the municipality of the proposed development; and
(b) (i) the municipality consents in writing to the development; or
(ii) (A) within 90 days after the county's notification of the proposed development, the
municipality submits to the county a written objection to the county's approval of the proposed
development; and
(B) the county responds in writing to the municipality's objections.
(6) (a) An annexation petition may not be filed under this part proposing the
annexation of an area located in a county that is not the county in which the proposed annexing
municipality is located unless the legislative body of the county in which the area is located has
adopted a resolution approving the proposed annexation.
(b) Each county legislative body that declines to adopt a resolution approving a
proposed annexation described in Subsection (6)(a) shall provide a written explanation of its
reasons for declining to approve the proposed annexation.
(7) (a) As used in this Subsection (7), "airport" means an area that the Federal Aviation
Administration has, by a record of decision, approved for the construction or operation of a
Class I, II, or III commercial service airport, as designated by the Federal Aviation
Administration in 14 C.F.R. Part 139.
(b) A municipality may not annex an unincorporated area within 5,000 feet of the
center line of any runway of an airport operated or to be constructed and operated by another
municipality unless the legislative body of the other municipality adopts a resolution
consenting to the annexation.
(c) A municipality that operates or intends to construct and operate an airport and does
not adopt a resolution consenting to the annexation of an area described in Subsection (7)(b)
may not deny an annexation petition proposing the annexation of that same area to that
municipality.
(8) (a) 
As used in this subsection, "project area" means a project area as defined in
Section 
63H-1-102
 that is in a project area plan as defined in Section 
63H-1-102
 adopted by
the Military Installation Development Authority under Title 63H, Chapter 1, Military
Installation Development Authority Act.
(b)
 A municipality may not annex an unincorporated area located within a project area
[
described in a project area plan adopted by the military installation development authority
under Title 63H, Chapter 1, Military Installation Development Authority Act,
] without the
authority's approval.
[
(b)
] 
(c)
 (i) Except as provided in Subsection (8)[
(b)
]
(c)
(ii), the Military Installation
Development Authority may petition for annexation of [
a project area and contiguous
surrounding land
] 
the following areas
 to a municipality as if it was the sole private [
property
owner of the project area and surrounding land, if the area to be annexed is entirely contained
within the boundaries of a military installation.
] 
property owner within the area:
(A) an area within a project area;
(B) an area that is contiguous to a project area and within the boundaries of a military
installation;
(C) an area owned by the Military Installation Development Authority; and
(D) an area that is contiguous to an area owned by the Military Installation
Development Authority that the Military Installation Development Authority plans to add to an
existing project area.
[
(ii) Before petitioning for annexation under Subsection (8)(b)(i), the Military
Installation Development Authority shall provide the military installation with a copy of the
petition for annexation. The military installation may object to the petition for annexation
within 14 days of receipt of the copy of the annexation petition. If the military installation
objects under this Subsection (8)(b)(ii), the Military Installation Development Authority may
not petition for the annexation as if it was the sole private property owner.
]
[
(iii)
] 
(ii)
 If any portion of an area annexed under a petition for annexation filed by [
a
]
the
 Military Installation Development Authority is located in a specified county:
(A) the annexation process shall follow the requirements for a specified county; and
(B) the provisions of Subsection 
10-2-402
(6) do not apply.
Section 2. Section 
32B-1-102
 is amended to read:
32B-1-102.
Definitions.
As used in this title:
(1) "Airport lounge" means a business location:
(a) at which an alcoholic product is sold at retail for consumption on the premises; and
(b) that is located at an international airport with a United States Customs office on the
premises of the international airport.
(2) "Airport lounge license" means a license issued in accordance with Chapter 5,
Retail License Act, and Chapter 6, Part 5, Airport Lounge License.
(3) "Alcoholic beverage" means the following:
(a) beer; or
(b) liquor.
(4) (a) "Alcoholic product" means a product that:
(i) contains at least .5% of alcohol by volume; and
(ii) is obtained by fermentation, infusion, decoction, brewing, distillation, or other
process that uses liquid or combinations of liquids, whether drinkable or not, to create alcohol
in an amount equal to or greater than .5% of alcohol by volume.
(b) "Alcoholic product" includes an alcoholic beverage.
(c) "Alcoholic product" does not include any of the following common items that
otherwise come within the definition of an alcoholic product:
(i) except as provided in Subsection (4)(d), an extract;
(ii) vinegar;
(iii) preserved nonintoxicating cider;
(iv) essence;
(v) tincture;
(vi) food preparation; or
(vii) an over-the-counter medicine.
(d) "Alcoholic product" includes an extract containing alcohol obtained by distillation
when it is used as a flavoring in the manufacturing of an alcoholic product.
(5) "Alcohol training and education seminar" means a seminar that is:
(a) required by Chapter 5, Part 4, Alcohol Training and Education Act; and
(b) described in Section 
62A-15-401
.
(6) "Banquet" means an event:
(a) that is held at one or more designated locations approved by the commission in or
on the premises of a:
(i) hotel;
(ii) resort facility;
(iii) sports center; or
(iv) convention center;
(b) for which there is a contract:
(i) between a person operating a facility listed in Subsection (6)(a) and another person;
and
(ii) under which the person operating a facility listed in Subsection (6)(a) is required to
provide an alcoholic product at the event; and
(c) at which food and alcoholic products may be sold, offered for sale, or furnished.
(7) "Bar structure" means a surface or structure on a licensed premises if on or at any
place of the surface or structure an alcoholic product is:
(a) stored; or
(b) dispensed.
(8) (a) "Bar establishment license" means a license issued in accordance with Chapter
5, Retail License Act, and Chapter 6, Part 4, Bar Establishment License.
(b) "Bar establishment license" includes:
(i) a dining club license;
(ii) an equity license;
(iii) a fraternal license; or
(iv) a bar license.
(9) "Bar license" means a license issued in accordance with Chapter 5, Retail License
Act, and Chapter 6, Part 4, Bar Establishment License.
(10) (a) Subject to Subsection (10)(d), "beer" means a product that:
(i) contains at least .5% of alcohol by volume, but not more than 4% of alcohol by
volume or 3.2% by weight; and
(ii) is obtained by fermentation, infusion, or decoction of malted grain.
(b) "Beer" may or may not contain hops or other vegetable products.
(c) "Beer" includes a product that:
(i) contains alcohol in the percentages described in Subsection (10)(a); and
(ii) is referred to as:
(A) beer;
(B) ale;
(C) porter;
(D) stout;
(E) lager; or
(F) a malt or malted beverage.
(d) "Beer" does not include a flavored malt beverage.
(11) "Beer-only restaurant license" means a license issued in accordance with Chapter
5, Retail License Act, and Chapter 6, Part 9, Beer-Only Restaurant License.
(12) "Beer retailer" means a business that:
(a) is engaged, primarily or incidentally, in the retail sale of beer to a patron, whether
for consumption on or off the business premises; and
(b) is licensed as:
(i) an off-premise beer retailer, in accordance with Chapter 7, Part 2, Off-Premise Beer
Retailer Local Authority; or
(ii) an on-premise beer retailer, in accordance with Chapter 5, Retail License Act, and
Chapter 6, Part 7, On-Premise Beer Retailer License.
(13) "Beer wholesaling license" means a license:
(a) issued in accordance with Chapter 13, Beer Wholesaling License Act; and
(b) to import for sale, or sell beer in wholesale or jobbing quantities to one or more
retail licensees or off-premise beer retailers.
(14) "Billboard" means a public display used to advertise, including:
(a) a light device;
(b) a painting;
(c) a drawing;
(d) a poster;
(e) a sign;
(f) a signboard; or
(g) a scoreboard.
(15) "Brewer" means a person engaged in manufacturing:
(a) beer;
(b) heavy beer; or
(c) a flavored malt beverage.
(16) "Brewery manufacturing license" means a license issued in accordance with
Chapter 11, Part 5, Brewery Manufacturing License.
(17) "Certificate of approval" means a certificate of approval obtained from the
department under Section 
32B-11-201
.
(18) "Chartered bus" means a passenger bus, coach, or other motor vehicle provided by
a bus company to a group of persons pursuant to a common purpose:
(a) under a single contract;
(b) at a fixed charge in accordance with the bus company's tariff; and
(c) to give the group of persons the exclusive use of the passenger bus, coach, or other
motor vehicle, and a driver to travel together to one or more specified destinations.
(19) "Church" means a building:
(a) set apart for worship;
(b) in which religious services are held;
(c) with which clergy is associated; and
(d) that is tax exempt under the laws of this state.
(20) "Commission" means the Alcoholic Beverage Control Commission created in
Section 
32B-2-201
.
(21) "Commissioner" means a member of the commission.
(22) "Community location" means:
(a) a public or private school;
(b) a church;
(c) a public library;
(d) a public playground; or
(e) a public park.
(23) "Community location governing authority" means:
(a) the governing body of the community location; or
(b) if the commission does not know who is the governing body of a community
location, a person who appears to the commission to have been given on behalf of the
community location the authority to prohibit an activity at the community location.
(24) "Container" means a receptacle that contains an alcoholic product, including:
(a) a bottle;
(b) a vessel; or
(c) a similar item.
(25) "Convention center" means a facility that is:
(a) in total at least 30,000 square feet; and
(b) otherwise defined as a "convention center" by the commission by rule.
(26) (a) "Counter" means a surface or structure in a dining area of a licensed premises
where seating is provided to a patron for service of food.
(b) "Counter" does not include a dispensing structure.
(27) "Department" means the Department of Alcoholic Beverage Control created in
Section 
32B-2-203
.
(28) "Department compliance officer" means an individual who is:
(a) an auditor or inspector; and
(b) employed by the department.
(29) "Department sample" means liquor that is placed in the possession of the
department for testing, analysis, and sampling.
(30) "Dining club license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 6, Part 4, Bar Establishment License, that is designated by the
commission as a dining club license.
(31) "Director," unless the context requires otherwise, means the director of the
department.
(32) "Disciplinary proceeding" means an adjudicative proceeding permitted under this
title:
(a) against a person subject to administrative action; and
(b) that is brought on the basis of a violation of this title.
(33) (a) Subject to Subsection (33)(b), "dispense" means:
(i) drawing an alcoholic product; and
(ii) using the alcoholic product at the location from which it was drawn to mix or
prepare an alcoholic product to be furnished to a patron of the retail licensee.
(b) The definition of "dispense" in this Subsection (33) applies only to:
(i) a full-service restaurant license;
(ii) a limited-service restaurant license;
(iii) a reception center license; and
(iv) a beer-only restaurant license.
(34) "Dispensing structure" means a surface or structure on a licensed premises:
(a) where an alcoholic product is dispensed; or
(b) from which an alcoholic product is served.
(35) "Distillery manufacturing license" means a license issued in accordance with
Chapter 11, Part 4, Distillery Manufacturing License.
(36) "Distressed merchandise" means an alcoholic product in the possession of the
department that is saleable, but for some reason is unappealing to the public.
(37) "Educational facility" includes:
(a) a nursery school;
(b) an infant day care center; and
(c) a trade and technical school.
(38) "Equity license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 6, Part 4, Bar Establishment License, that is designated by the
commission as an equity license.
(39) "Event permit" means:
(a) a single event permit; or
(b) a temporary beer event permit.
(40) "Exempt license" means a license exempt under Section 
32B-1-201
 from being
considered in determining the total number of retail licenses that the commission may issue at
any time.
(41) (a) "Flavored malt beverage" means a beverage:
(i) that contains at least .5% alcohol by volume;
(ii) that is treated by processing, filtration, or another method of manufacture that is not
generally recognized as a traditional process in the production of a beer as described in 27
C.F.R. Sec. 25.55;
(iii) to which is added a flavor or other ingredient containing alcohol, except for a hop
extract; and
(iv) (A) for which the producer is required to file a formula for approval with the
federal Alcohol and Tobacco Tax and Trade Bureau pursuant to 27 C.F.R. Sec. 25.55; or
(B) that is not exempt under Subdivision (f) of 27 C.F.R. Sec. 25.55.
(b) "Flavored malt beverage" is considered liquor for purposes of this title.
(42) "Fraternal license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 6, Part 4, Bar Establishment License, that is designated by the
commission as a fraternal license.
(43) "Full-service restaurant license" means a license issued in accordance with
Chapter 5, Retail License Act, and Chapter 6, Part 2, Full-Service Restaurant License.
(44) (a) "Furnish" means by any means to provide with, supply, or give an individual
an alcoholic product, by sale or otherwise.
(b) "Furnish" includes to:
(i) serve;
(ii) deliver; or
(iii) otherwise make available.
(45) "Guest" means an individual who meets the requirements of Subsection
32B-6-407
(9).
(46) "Hard cider" means the same as that term is defined in 26 U.S.C. Sec. 5041.
(47) "Health care practitioner" means:
(a) a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
(b) an optometrist licensed under Title 58, Chapter 16a, Utah Optometry Practice Act;
(c) a pharmacist licensed under Title 58, Chapter 17b, Pharmacy Practice Act;
(d) a physical therapist licensed under Title 58, Chapter 24b, Physical Therapy Practice
Act;
(e) a nurse or advanced practice registered nurse licensed under Title 58, Chapter 31b,
Nurse Practice Act;
(f) a recreational therapist licensed under Title 58, Chapter 40, Recreational Therapy
Practice Act;
(g) an occupational therapist licensed under Title 58, Chapter 42a, Occupational
Therapy Practice Act;
(h) a nurse midwife licensed under Title 58, Chapter 44a, Nurse Midwife Practice Act;
(i) a mental health professional licensed under Title 58, Chapter 60, Mental Health
Professional Practice Act;
(j) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act;
(k) an osteopath licensed under Title 58, Chapter 68, Utah Osteopathic Medical
Practice Act;
(l) a dentist or dental hygienist licensed under Title 58, Chapter 69, Dentist and Dental
Hygienist Practice Act; and
(m) a physician assistant licensed under Title 58, Chapter 70a, Physician Assistant Act.
(48) (a) "Heavy beer" means a product that:
(i) contains more than 4% alcohol by volume; and
(ii) is obtained by fermentation, infusion, or decoction of malted grain.
(b) "Heavy beer" is considered liquor for the purposes of this title.
(49) "Hotel" is as defined by the commission by rule.
(50) "Hotel license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 8b, Hotel License Act.
(51) "Identification card" means an identification card issued under Title 53, Chapter 3,
Part 8, Identification Card Act.
(52) "Industry representative" means an individual who is compensated by salary,
commission, or other means for representing and selling an alcoholic product of a
manufacturer, supplier, or importer of liquor.
(53) "Industry representative sample" means liquor that is placed in the possession of
the department for testing, analysis, and sampling by a local industry representative on the
premises of the department to educate the local industry representative of the quality and
characteristics of the product.
(54) "Interdicted person" means a person to whom the sale, offer for sale, or furnishing
of an alcoholic product is prohibited by:
(a) law; or
(b) court order.
(55) "Intoxicated" means that a person:
(a) is significantly impaired as to the person's mental or physical functions as a result of
the use of:
(i) an alcoholic product;
(ii) a controlled substance;
(iii) a substance having the property of releasing toxic vapors; or
(iv) a combination of Subsections (55)(a)(i) through (iii); and
(b) exhibits plain and easily observed outward manifestations of behavior or physical
signs produced by the overconsumption of an alcoholic product.
(56) "Investigator" means an individual who is:
(a) a department compliance officer; or
(b) a nondepartment enforcement officer.
(57) "Invitee" means the same as that term is defined in Section 
32B-8-102
.
(58) "License" means:
(a) a retail license;
(b) a license issued in accordance with Chapter 11, Manufacturing and Related
Licenses Act;
(c) a license issued in accordance with Chapter 12, Liquor Warehousing License Act;
or
(d) a license issued in accordance with Chapter 13, Beer Wholesaling License Act.
(59) "Licensee" means a person who holds a license.
(60) "Limited-service restaurant license" means a license issued in accordance with
Chapter 5, Retail License Act, and Chapter 6, Part 3, Limited-Service Restaurant License.
(61) "Limousine" means a motor vehicle licensed by the state or a local authority, other
than a bus or taxicab:
(a) in which the driver and a passenger are separated by a partition, glass, or other
barrier;
(b) that is provided by a business entity to one or more individuals at a fixed charge in
accordance with the business entity's tariff; and
(c) to give the one or more individuals the exclusive use of the limousine and a driver
to travel to one or more specified destinations.
(62) (a) (i) "Liquor" means a liquid that:
(A) is:
(I) alcohol;
(II) an alcoholic, spirituous, vinous, fermented, malt, or other liquid;
(III) a combination of liquids a part of which is spirituous, vinous, or fermented; or
(IV) other drink or drinkable liquid; and
(B) (I) contains at least .5% alcohol by volume; and
(II) is suitable to use for beverage purposes.
(ii) "Liquor" includes:
(A) heavy beer;
(B) wine; and
(C) a flavored malt beverage.
(b) "Liquor" does not include beer.
(63) "Liquor Control Fund" means the enterprise fund created by Section 
32B-2-301
.
(64) "Liquor warehousing license" means a license that is issued:
(a) in accordance with Chapter 12, Liquor Warehousing License Act; and
(b) to a person, other than a licensed manufacturer, who engages in the importation for
storage, sale, or distribution of liquor regardless of amount.
(65) "Local authority" means:
(a) for premises that are located in an unincorporated area of a county, the governing
body of a county; [
or
]
(b) for premises that are located in an incorporated city, town, or metro township, the
governing body of the city, town, or metro township[
.
]
; or
(c) for premises that are located in a project area as defined in Section 
63H-1-201
 and
in a project area plan adopted by the Military Installation Development Authority under Title
63H, Chapter 1, Military Installation Development Authority Act, the Military Installation
Development Authority.
(66) "Lounge or bar area" is as defined by rule made by the commission.
(67) "Manufacture" means to distill, brew, rectify, mix, compound, process, ferment, or
otherwise make an alcoholic product for personal use or for sale or distribution to others.
(68) "Member" means an individual who, after paying regular dues, has full privileges
in an equity licensee or fraternal licensee.
(69) (a) "Military installation" means a base, air field, camp, post, station, yard, center,
or homeport facility for a ship:
(i) (A) under the control of the United States Department of Defense; or
(B) of the National Guard;
(ii) that is located within the state; and
(iii) including a leased facility.
(b) "Military installation" does not include a facility used primarily for:
(i) civil works;
(ii) a rivers and harbors project; or
(iii) a flood control project.
(70) "Minor" means an individual under the age of 21 years.
(71) "Nondepartment enforcement agency" means an agency that:
(a) (i) is a state agency other than the department; or
(ii) is an agency of a county, city, town, or metro township; and
(b) has a responsibility to enforce one or more provisions of this title.
(72) "Nondepartment enforcement officer" means an individual who is:
(a) a peace officer, examiner, or investigator; and
(b) employed by a nondepartment enforcement agency.
(73) (a) "Off-premise beer retailer" means a beer retailer who is:
(i) licensed in accordance with Chapter 7, Off-Premise Beer Retailer Act; and
(ii) engaged in the retail sale of beer to a patron for consumption off the beer retailer's
premises.
(b) "Off-premise beer retailer" does not include an on-premise beer retailer.
(74) "Off-premise beer retailer state license" means a state license issued in accordance
with Chapter 7, Part 4, Off-premise Beer Retailer State License.
(75) "On-premise banquet license" means a license issued in accordance with Chapter
5, Retail License Act, and Chapter 6, Part 6, On-Premise Banquet License.
(76) "On-premise beer retailer" means a beer retailer who is:
(a) authorized to sell, offer for sale, or furnish beer under a license issued in
accordance with Chapter 5, Retail License Act, and Chapter 6, Part 7, On-Premise Beer
Retailer License; and
(b) engaged in the sale of beer to a patron for consumption on the beer retailer's
premises:
(i) regardless of whether the beer retailer sells beer for consumption off the licensed
premises; and
(ii) on and after March 1, 2012, operating:
(A) as a tavern; or
(B) in a manner that meets the requirements of Subsection 
32B-6-703
(2)(e)(i).
(77) "Opaque" means impenetrable to sight.
(78) "Package agency" means a retail liquor location operated:
(a) under an agreement with the department; and
(b) by a person:
(i) other than the state; and
(ii) who is authorized by the commission in accordance with Chapter 2, Part 6, Package
Agency, to sell packaged liquor for consumption off the premises of the package agency.
(79) "Package agent" means a person who holds a package agency.
(80) "Patron" means an individual to whom food, beverages, or services are sold,
offered for sale, or furnished, or who consumes an alcoholic product including:
(a) a customer;
(b) a member;
(c) a guest;
(d) an attendee of a banquet or event;
(e) an individual who receives room service;
(f) a resident of a resort;
(g) a public customer under a resort spa sublicense, as defined in Section 
32B-8-102
;
or
(h) an invitee.
(81) "Permittee" means a person issued a permit under:
(a) Chapter 9, Event Permit Act; or
(b) Chapter 10, Special Use Permit Act.
(82) "Person subject to administrative action" means:
(a) a licensee;
(b) a permittee;
(c) a manufacturer;
(d) a supplier;
(e) an importer;
(f) one of the following holding a certificate of approval:
(i) an out-of-state brewer;
(ii) an out-of-state importer of beer, heavy beer, or flavored malt beverages; or
(iii) an out-of-state supplier of beer, heavy beer, or flavored malt beverages; or
(g) staff of:
(i) a person listed in Subsections (82)(a) through (f); or
(ii) a package agent.
(83) "Premises" means a building, enclosure, or room used in connection with the
storage, sale, furnishing, consumption, manufacture, or distribution, of an alcoholic product,
unless otherwise defined in this title or rules made by the commission.
(84) "Prescription" means an order issued by a health care practitioner when:
(a) the health care practitioner is licensed under Title 58, Occupations and Professions,
to prescribe a controlled substance, other drug, or device for medicinal purposes;
(b) the order is made in the course of that health care practitioner's professional
practice; and
(c) the order is made for obtaining an alcoholic product for medicinal purposes only.
(85) (a) "Private event" means a specific social, business, or recreational event:
(i) for which an entire room, area, or hall is leased or rented in advance by an identified
group; and
(ii) that is limited in attendance to people who are specifically designated and their
guests.
(b) "Private event" does not include an event to which the general public is invited,
whether for an admission fee or not.
(86) (a) "Proof of age" means:
(i) an identification card;
(ii) an identification that:
(A) is substantially similar to an identification card;
(B) is issued in accordance with the laws of a state other than Utah in which the
identification is issued;
(C) includes date of birth; and
(D) has a picture affixed;
(iii) a valid driver license certificate that:
(A) includes date of birth;
(B) has a picture affixed; and
(C) is issued:
(I) under Title 53, Chapter 3, Uniform Driver License Act; or
(II) in accordance with the laws of the state in which it is issued;
(iv) a military identification card that:
(A) includes date of birth; and
(B) has a picture affixed; or
(v) a valid passport.
(b) "Proof of age" does not include a driving privilege card issued in accordance with
Section 
53-3-207
.
(87) (a) "Public building" means a building or permanent structure that is:
(i) owned or leased by:
(A) the state; or
(B) a local government entity; and
(ii) used for:
(A) public education;
(B) transacting public business; or
(C) regularly conducting government activities.
(b) "Public building" does not include a building owned by the state or a local
government entity when the building is used by a person, in whole or in part, for a proprietary
function.
(88) "Public conveyance" means a conveyance that the public or a portion of the public
has access to and a right to use for transportation, including an airline, railroad, bus, boat, or
other public conveyance.
(89) "Reception center" means a business that:
(a) operates facilities that are at least 5,000 square feet; and
(b) has as its primary purpose the leasing of the facilities described in Subsection
(89)(a) to a third party for the third party's event.
(90) "Reception center license" means a license issued in accordance with Chapter 5,
Retail License Act, and Chapter 6, Part 8, Reception Center License.
(91) (a) "Record" means information that is:
(i) inscribed on a tangible medium; or
(ii) stored in an electronic or other medium and is retrievable in a perceivable form.
(b) "Record" includes:
(i) a book;
(ii) a book of account;
(iii) a paper;
(iv) a contract;
(v) an agreement;
(vi) a document; or
(vii) a recording in any medium.
(92) "Residence" means a person's principal place of abode within Utah.
(93) "Resident," in relation to a resort, means the same as that term is defined in
Section 
32B-8-102
.
(94) "Resort" means the same as that term is defined in Section 
32B-8-102
.
(95) "Resort facility" is as defined by the commission by rule.
(96) "Resort license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 8, Resort License Act.
(97) "Responsible alcohol service plan" means a written set of policies and procedures
that outlines measures to prevent employees from:
(a) over-serving alcoholic beverages to customers;
(b) serving alcoholic beverages to customers who are actually, apparently, or obviously
intoxicated; and
(c) serving alcoholic beverages to minors.
(98) "Restaurant" means a business location:
(a) at which a variety of foods are prepared;
(b) at which complete meals are served; and
(c) that is engaged primarily in serving meals.
(99) "Retail license" means one of the following licenses issued under this title:
(a) a full-service restaurant license;
(b) a master full-service restaurant license;
(c) a limited-service restaurant license;
(d) a master limited-service restaurant license;
(e) a bar establishment license;
(f) an airport lounge license;
(g) an on-premise banquet license;
(h) an on-premise beer license;
(i) a reception center license;
(j) a beer-only restaurant license;
(k) a resort license; or
(l) a hotel license.
(100) "Room service" means furnishing an alcoholic product to a person in a guest
room of a:
(a) hotel; or
(b) resort facility.
(101) (a) "School" means a building used primarily for the general education of minors.
(b) "School" does not include an educational facility.
(102) "Sell" or "offer for sale" means a transaction, exchange, or barter whereby, for
consideration, an alcoholic product is either directly or indirectly transferred, solicited, ordered,
delivered for value, or by a means or under a pretext is promised or obtained, whether done by
a person as a principal, proprietor, or as staff, unless otherwise defined in this title or the rules
made by the commission.
(103) "Serve" means to place an alcoholic product before an individual.
(104) "Sexually oriented entertainer" means a person who while in a state of
seminudity appears at or performs:
(a) for the entertainment of one or more patrons;
(b) on the premises of:
(i) a bar licensee; or
(ii) a tavern;
(c) on behalf of or at the request of the licensee described in Subsection (104)(b);
(d) on a contractual or voluntary basis; and
(e) whether or not the person is designated as:
(i) an employee;
(ii) an independent contractor;
(iii) an agent of the licensee; or
(iv) a different type of classification.
(105) "Single event permit" means a permit issued in accordance with Chapter 9, Part
3, Single Event Permit.
(106) "Small brewer" means a brewer who manufactures less than 60,000 barrels of
beer, heavy beer, and flavored malt beverages per year.
(107) "Special use permit" means a permit issued in accordance with Chapter 10,
Special Use Permit Act.
(108) (a) "Spirituous liquor" means liquor that is distilled.
(b) "Spirituous liquor" includes an alcoholic product defined as a "distilled spirit" by
27 U.S.C. Sec. 211 and 27 C.F.R. Sec. 5.11 through 5.23.
(109) "Sports center" is as defined by the commission by rule.
(110) (a) "Staff" means an individual who engages in activity governed by this title:
(i) on behalf of a business, including a package agent, licensee, permittee, or certificate
holder;
(ii) at the request of the business, including a package agent, licensee, permittee, or
certificate holder; or
(iii) under the authority of the business, including a package agent, licensee, permittee,
or certificate holder.
(b) "Staff" includes:
(i) an officer;
(ii) a director;
(iii) an employee;
(iv) personnel management;
(v) an agent of the licensee, including a managing agent;
(vi) an operator; or
(vii) a representative.
(111) "State of nudity" means:
(a) the appearance of:
(i) the nipple or areola of a female human breast;
(ii) a human genital;
(iii) a human pubic area; or
(iv) a human anus; or
(b) a state of dress that fails to opaquely cover:
(i) the nipple or areola of a female human breast;
(ii) a human genital;
(iii) a human pubic area; or
(iv) a human anus.
(112) "State of seminudity" means a state of dress in which opaque clothing covers no
more than:
(a) the nipple and areola of the female human breast in a shape and color other than the
natural shape and color of the nipple and areola; and
(b) the human genitals, pubic area, and anus:
(i) with no less than the following at its widest point:
(A) four inches coverage width in the front of the human body; and
(B) five inches coverage width in the back of the human body; and
(ii) with coverage that does not taper to less than one inch wide at the narrowest point.
(113) (a) "State store" means a facility for the sale of packaged liquor:
(i) located on premises owned or leased by the state; and
(ii) operated by a state employee.
(b) "State store" does not include:
(i) a package agency;
(ii) a licensee; or
(iii) a permittee.
(114) (a) "Storage area" means an area on licensed premises where the licensee stores
an alcoholic product.
(b) "Store" means to place or maintain in a location an alcoholic product.
(115) "Sublicense" means the same as that term is defined in Section 
32B-8-102
 or
32B-8b-102
.
(116) "Supplier" means a person who sells an alcoholic product to the department.
(117) "Tavern" means an on-premise beer retailer who is:
(a) issued a license by the commission in accordance with Chapter 5, Retail License
Act, and Chapter 6, Part 7, On-Premise Beer Retailer License; and
(b) designated by the commission as a tavern in accordance with Chapter 6, Part 7,
On-Premise Beer Retailer License.
(118) "Temporary beer event permit" means a permit issued in accordance with
Chapter 9, Part 4, Temporary Beer Event Permit.
(119) "Temporary domicile" means the principal place of abode within Utah of a
person who does not have a present intention to continue residency within Utah permanently or
indefinitely.
(120) "Translucent" means a substance that allows light to pass through, but does not
allow an object or person to be seen through the substance.
(121) "Unsaleable liquor merchandise" means a container that:
(a) is unsaleable because the container is:
(i) unlabeled;
(ii) leaky;
(iii) damaged;
(iv) difficult to open; or
(v) partly filled;
(b) (i) has faded labels or defective caps or corks;
(ii) has contents that are:
(A) cloudy;
(B) spoiled; or
(C) chemically determined to be impure; or
(iii) contains:
(A) sediment; or
(B) a foreign substance; or
(c) is otherwise considered by the department as unfit for sale.
(122) (a) "Wine" means an alcoholic product obtained by the fermentation of the
natural sugar content of fruits, plants, honey, or milk, or other like substance, whether or not
another ingredient is added.
(b) "Wine" includes:
(i) an alcoholic beverage defined as wine under 27 U.S.C. Sec. 211 and 27 C.F.R. Sec.
4.10; and
(ii) hard cider.
(c) "Wine" is considered liquor for purposes of this title, except as otherwise provided
in this title.
(123) "Winery manufacturing license" means a license issued in accordance with
Chapter 11, Part 3, Winery Manufacturing License.
Section 3. Section 
63H-1-102
 is amended to read:
63H-1-102.
Definitions.
As used in this chapter:
(1) "Authority" means the Military Installation Development Authority, created under
Section 
63H-1-201
.
(2) "Base taxable value" means:
(a) for military land or other land that was exempt from a property tax at the time that a
project area was created that included the military land or other land, a taxable value of zero; or
(b) for private property that is included in a project area, the taxable value of the
property within any portion of the project area, as designated by board resolution, from which
the property tax allocation will be collected, as shown upon the assessment roll last equalized
before the year in which the authority creates the project area.
(3) "Board" means the governing body of the authority created under Section
63H-1-301
.
(4) (a) "Dedicated tax collections" means the property tax that remains after the
authority is paid the property tax allocation the authority is entitled to receive under Subsection
63H-1-501
(1), for a property tax levied by:
(i) a county, including a district the county has established under Subsection 
17-34-3
(2)
to levy a property tax under Title 17, Chapter 34, Municipal-Type Services to Unincorporated
Areas; or
(ii) an included municipality.
(b) "Dedicated tax collections" does not include a county additional property tax or
multicounty assessing and collecting levy imposed in accordance with Section 
59-2-1602
.
(5) (a) "Development" means an activity occurring:
(i) on land within a project area that is owned or operated by the military, the authority,
another public entity, or a private entity; or
(ii) on military land associated with a project area.
(b) "Development" includes the demolition, construction, reconstruction, modification,
expansion, or improvement of a building, facility, utility, landscape, parking lot, park, trail, or
recreational amenity.
(6) "Development project" means a project to develop land within a project area.
(7) "Elected member" means a member of the authority board who:
(a) is a mayor or member of a legislative body appointed under Subsection
63H-1-302
(2)(b); or
(b) (i) is appointed to the authority board under Subsection 
63H-1-302
(2)(a) or (3); and
(ii) concurrently serves in an elected state, county, or municipal office.
(8) "Included municipality" means a municipality, some or all of which is included
within a project area.
(9) (a) "Military" means a branch of the armed forces of the United States, including
the Utah National Guard.
(b) "Military" includes, in relation to property, property that is occupied by the military
and is owned by the government of the United States or the state.
(10) "Military Installation Development Authority accommodations tax" or "MIDA
accommodations tax" means the tax imposed under Section 
63H-1-205
.
(11) "Military Installation Development Authority energy tax" or "MIDA energy tax"
means the tax levied under Section 
63H-1-204
.
(12) "Military land" means land or a facility, including leased land or a leased facility,
that is part of or affiliated with a base, camp, post, station, yard, center, or installation under the
jurisdiction of the United States Department of Defense or the Utah National Guard.
(13) "Municipal energy tax" means a municipal energy sales and use tax under Title
10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act.
(14) "Municipal services revenue" means revenue that the authority:
(a) collects from the authority's:
(i) levy of a municipal energy tax;
(ii) levy of a MIDA energy tax;
(iii) levy of a telecommunications tax;
(iv) imposition of a transient room tax; and
(v) imposition of a resort communities tax;
(b) receives under Subsection 
59-12-205
(2)(b)(ii); and
(c) receives as dedicated tax collections.
(15) "Municipal tax" means a municipal energy tax, MIDA energy tax, MIDA
accommodations tax, telecommunications tax, transient room tax, or resort communities tax.
(16) "Project area" means the land, including military land, whether consisting of a
single contiguous area or multiple noncontiguous areas, described in a project area plan or draft
project area plan, where the development project set forth in the project area plan or draft
project area plan takes place or is proposed to take place.
(17) "Project area budget" means a multiyear projection of annual or cumulative
revenues and expenses and other fiscal matters pertaining to a project area that includes:
(a) the base taxable value of property in the project area;
(b) the projected property tax allocation expected to be generated within the project
area;
(c) the amount of the property tax allocation expected to be shared with other taxing
entities;
(d) the amount of the property tax allocation expected to be used to implement the
project area plan, including the estimated amount of the property tax allocation to be used for
land acquisition, public improvements, infrastructure improvements, and loans, grants, or other
incentives to private and public entities;
(e) the property tax allocation expected to be used to cover the cost of administering
the project area plan;
(f) if the property tax allocation is to be collected at different times or from different
portions of the project area, or both:
(i) (A) the tax identification numbers of the parcels from which the property tax
allocation will be collected; or
(B) a legal description of the portion of the project area from which the property tax
allocation will be collected; and
(ii) an estimate of when other portions of the project area will become subject to
collection of the property tax allocation; and
(g) for property that the authority owns or leases and expects to sell or sublease, the
expected total cost of the property to the authority and the expected selling price or lease
payments.
(18) "Project area plan" means a written plan that, after the plan's effective date, guides
and controls the development within a project area.
(19) (a) "Property tax" includes a privilege tax 
imposed under Title 59, Chapter 4,
Privilege Tax
, except as described in Subsection (19)(b), and each levy on an ad valorem basis
on tangible or intangible personal or real property.
(b) "Property tax" does not include a privilege tax on the taxable value:
(i) attributable to a portion of a facility leased to the military for a calendar year when:
(A) a lessee of military land has constructed a facility on the military land that is part of
a project area;
(B) the lessee leases space in the facility to the military for the entire calendar year; and
(C) the lease rate paid by the military for the space is $1 or less for the entire calendar
year, not including any common charges that are reimbursements for actual expenses; or
(ii) of [
a hotel that is
] 
the following property
 owned by the authority, regardless of
whether the authority enters into a long-term operating agreement with a privately owned entity
[
in
] 
under
 which the privately owned entity agrees to operate the [
hotel.
] 
property:
(A) a hotel;
(B) a hotel condominium unit in a condominium project, as defined in Section 
57-8-3
;
and
(C) a commercial condominium unit in a condominium project, as defined in Section
57-8-3
.
(20) "Property tax allocation" means the difference between:
(a) the amount of property tax revenues generated each tax year by all taxing entities
from the area within a project area designated in the project area plan as the area from which
the property tax allocation is to be collected, using the current assessed value of the property;
and
(b) the amount of property tax revenues that would be generated from that same area
using the base taxable value of the property.
(21) "Public entity" means:
(a) the state, including each department or agency of the state; or
(b) a political subdivision of the state, including a county, city, town, school district,
local district, special service district, or interlocal cooperation entity.
(22) (a) "Publicly owned infrastructure and improvements" means infrastructure,
improvements, facilities, or buildings that benefit the public and are:
(i) publicly owned by the military, the authority, or another public entity;
(ii) owned by a utility; or
(iii) publicly maintained or operated by the military, the authority, or another public
entity.
(b) "Publicly owned infrastructure and improvements" includes:
(i) facilities, lines, or systems that provide water, chilled water, steam, sewer, storm
drainage, natural gas, electricity, or telecommunications; and
(ii) streets, roads, curb, gutter, sidewalk, walkways, solid waste facilities, parking
facilities, and public transportation facilities.
(23) "Remaining municipal services revenue" means municipal services revenue that
the authority has not:
(a) spent during the authority's fiscal year for municipal services as provided in
Subsection 
63H-1-503
(1); or
(b) redirected to use in accordance with Subsection 
63H-1-502
(3).
(24) "Resort communities tax" means a sales and use tax imposed under Section
59-12-401
.
(25) "Taxable value" means the value of property as shown on the last equalized
assessment roll as certified by the county assessor.
(26) "Taxing entity" means a public entity that levies a tax on property within a project
area.
(27) "Telecommunications tax" means a telecommunications license tax under Title
10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act.
(28) "Transient room tax" means a tax under Section 
59-12-352
.
Section 4. Section 
63H-1-202
 is amended to read:
63H-1-202.
Applicability of other law.
(1) The authority or land within a project area is not subject to:
(a) Title 10, Chapter 9a, Municipal Land Use, Development, and Management Act;
(b) Title 17, Chapter 27a, County Land Use, Development, and Management Act;
(c) ordinances or regulations of a county or municipality, including those relating to
land use, health, business license, or franchise; or
(d) the jurisdiction of a local district under Title 17B, Limited Purpose Local
Government Entities - Local Districts, or a special service district under Title 17D, Chapter 1,
Special Service District Act.
(2) The authority is subject to and governed by Sections 
63E-2-106
, 
63E-2-107
,
63E-2-108
, 
63E-2-109
, 
63E-2-110
, and 
63E-2-111
, but is not otherwise subject to or governed
by Title 63E, Independent Entities Code.
(3) (a) The definitions in Section 
57-8-3
 apply to this Subsection (3).
(b) Notwithstanding the provisions of Title 57, Chapter 8, Condominium Ownership
Act, or any other provision of law:
(i) if the military is the owner of land in a project area on which a condominium project
is constructed, the military is not required to sign, execute, or record a declaration of a
condominium project; and
(ii) if a condominium unit in a project area is owned by the military or owned by the
authority and leased to the military for $1 or less per calendar year, not including any common
charges that are reimbursements for actual expenses:
(A) the condominium unit is not subject to any liens under Title 57, Chapter 8,
Condominium Ownership Act;
(B) condominium unit owners within the same building or commercial condominium
project may agree on any method of allocation and payment of common area expenses,
regardless of the size or par value of each unit; and
(C) the condominium project may not be dissolved without the consent of all the
condominium unit owners.
(4) Notwithstanding any other provision, when a law requires the consent of a local
government, the authority is the consenting entity for a project area.
Section 5. Section 
63H-1-206
 is enacted to read:
 63H-1-206.
Property exchange -- Freeway interchange construction.
(1) If the authority receives title to real property from a military installation for
construction of an interchange by the Department of Transportation, the authority shall
exchange the real property intended for the interchange with the Department of Transportation
for any unused remainder of real property that the Department of Transportation does not need
for the freeway after the interchange is complete.
(2) An exchange described in Subsection (1) shall occur at no cost to the authority or
the Department of Transportation, regardless of the value of the real property.
Section 6. Section 
63H-1-302
 is amended to read:
63H-1-302.
Number of board members -- Appointment.
(1) The authority's board shall consist of seven members.
(2) The governor shall appoint five members of the board as follows:
(a) one member shall be appointed who is interested in supporting military efforts in
the state;
(b) subject to Subsection (4)(d), three members shall be appointed, each of whom is a
mayor or member of the legislative body of a municipality or county that is adjacent or in close
proximity to a project area or proposed project area; and
(c) one member shall be appointed from the executive branch or a state agency that is
involved with military issues.
(3) The president of the Senate and the speaker of the House of Representatives shall
each appoint one board member.
(4) (a) Each vacancy shall be filled in the same manner under this section as the
appointment of the member whose vacancy is being filled.
(b) Each person appointed to fill a vacancy shall serve the remaining unexpired term of
the member whose vacancy the person is filling.
(c) If a mayor or member of a legislative body appointed under Subsection (2)(b)
leaves office as mayor or a member of the legislative body, a vacancy on the board occurs and
the governor shall appoint another mayor or member of a legislative body, as provided in
Subsection (2)(b), to fill the vacancy.
(d) If there are more than three project areas 
where development is actively occurring
located in different counties or municipalities, the governor:
(i) shall appoint at least one member under Subsection (2)(b) who represents a
municipality or county that is adjacent to or in close proximity to the highest-value project area,
as measured by the planned taxable value of the land within the project area to be developed by
the private sector;
(ii) shall appoint at least one member under Subsection (2)(b) who represents a
municipality or county that is adjacent to or in close proximity to the second-highest-value
project area, as measured by the planned taxable value of the land within the project area to be
developed by the private sector; and
(iii) may appoint one member under Subsection (2)(b) who represents a municipality or
county that is adjacent to or in close proximity to a project area 
where development is actively
occurring
 for which there is no representation on the board.
(e) A member of the board appointed by the governor, president of the Senate, or
speaker of the House of Representatives serves at the pleasure of and may be removed and
replaced at any time, with or without cause, by the governor, president of the Senate, or speaker
of the House of Representatives, respectively.
(5) The authority may:
(a) appoint nonvoting members of the board, including a member from a municipality
or county that is adjacent to or in close proximity to a project area for which there is no
representation on the board under Subsection (2)(b); and
(b) set terms for nonvoting members appointed under Subsection (5)(a).
Section 7. Section 
63H-1-403
 is amended to read:
63H-1-403.
Notice of project area plan adoption -- Effective date of plan --
Contesting the formation of the plan.
(1) Upon the board's adoption of a project area plan, the board shall provide notice as
provided in Subsection (1)(b) by publishing or causing to be published legal notice:
(a) in a newspaper of general circulation within or near the project area; and
(b) as required by Section 
45-1-101
.
(2) 
(a)
 Each notice under Subsection (1) shall include:
[
(a)
] 
(i)
 the board resolution adopting the project area plan or a summary of the
resolution; and
[
(b)
] 
(ii)
 a statement that the project area plan is available for general public inspection
and the hours for inspection.
(b) The statement required under Subsection (2)(a)(ii) may be included in the board
resolution or summary described in Subsection (2)(a)(i).
(3) The project area plan shall become effective on the date of publication of the
notice.
(4) The authority shall make the adopted project area plan available to the general
public at its offices during normal business hours.
(5) Within 10 days after the day on which a project area plan is adopted that establishes
a project area, or after an amendment to a project area plan is adopted under which the
boundary of a project area is modified, the authority shall send notice of the establishment or
modification of the project area and an accurate map or plat of the project area to:
(a) the State Tax Commission;
(b) the Automated Geographic Reference Center created in Section 
63F-1-506
; and
(c) the assessor and recorder of each county where the project area is located.
(6) (a) A legal action or other challenge to a project area plan or a project area
described in a project area plan is barred unless brought within 30 days after the effective date
of the project area plan.
(b) For a project area created before December 1, 2018, a legal action or other
challenge is barred.
(c) For a project area created after December 1, 2018, and before May 14, 2019, a legal
action or other challenge is barred after July 1, 2019.
Section 8. Section 
63H-1-501
 is amended to read:
63H-1-501.
Authority receipt and use of property tax allocation -- Contractual
annual payment -- Distribution of property tax allocation.
(1) (a) The authority may:
(i) subject to Subsection (1)(b)[
,
]
:
(A)
 receive up to 75% of the property tax allocation for up to 25 years, as provided in
this part; and
(B) after the time period described in Subsection (1)(a)(i)(A) expires, receive up to
75% of the property tax allocation for up to 15 years, if the board determines the additional
years will produce significant benefit; and
(ii) use the property tax allocation 
before,
 during
,
 and after the period described in
Subsection (1)(a)(i).
(b) With respect to a parcel located within a project area, the 25-year period described
in Subsection (1)(a)(i)
(A)
 shall begin on the day on which the authority receives the first
property tax allocation from that parcel.
(2) Improvements on a parcel within a project area become subject to property tax on
January 1 immediately following the day on which the authority or an entity designated by the
authority issues a certificate of occupancy with respect to those improvements.
(3) (a) If the authority or an entity designated by the authority has not issued a
certificate of occupancy for a private parcel within a project area, the private parcel owner shall
enter into a contract with the authority to make an annual payment to the authority:
(i) that is equal to 1.2% of the taxable value of the parcel above the base taxable value
of the parcel; and
(ii) until the parcel becomes subject to the property tax described in Subsection (2).
(b) The authority may use the revenue from payments described in Subsection (3)(a)
for any purpose described in Subsection 
63H-1-502
(1).
(4) Each county that collects property tax on property within a project area shall pay
and distribute to the authority the property tax allocation and dedicated tax collections that the
authority is entitled to collect under this title, in the manner and at the time provided in Section
59-2-1365
.
(5) (a) The board shall determine by resolution when the entire project area or an
individual parcel within a project area is subject to property tax allocation.
(b) The board shall amend the project area budget to reflect whether a parcel within a
project area is subject to property tax allocation.
(6) The following property owned by the authority is not subject to any property tax
under Title 59, Chapter 2, Property Tax Act, or any privilege tax under Title 59, Chapter 4,
Privilege Tax, regardless of whether the authority enters into a long-term operating agreement
with a privately owned entity under which the privately owned entity agrees to operate the
property:
(a) a hotel;
(b) a hotel condominium unit in a condominium project, as defined in Section 
57-8-3
;
and
(c) a commercial condominium unit in a condominium project, as defined in Section
57-8-3
.
Section 9. Section 
63N-2-103
 is amended to read:
63N-2-103.
Definitions.
As used in this part:
(1) "Authority project area" means a project area of the Military Installation
Development Authority, created in Section 
63H-1-201
.
[
(1)
] 
(2)
 "Business entity" means a person that enters into an agreement with the office
to initiate a new commercial project in Utah that will qualify the person to receive a tax credit
under Section 
59-7-614.2
 or 
59-10-1107
.
[
(2)
] 
(3)
 "Community reinvestment agency" [
has
] 
means
 the same [
meaning
] as that
term is defined in Section 
17C-1-102
.
[
(3)
] 
(4)
 "Development zone" means an economic development zone created under
Section 
63N-2-104
.
(5) "Gross wages" does not include health care or other paid or unpaid benefits.
[
(4)
] 
(6)
 "High paying jobs" means:
(a) with respect to a business entity, the aggregate average annual gross wages[
, not
including healthcare or other paid or unpaid benefits,
]
:
(i)
 of newly created full-time employment positions in a business entity
; and
(ii)
 that are at least 110% of the average wage of a community in which the
employment positions will exist;
(b) with respect to a county, the aggregate average annual gross wages[
, not including
healthcare or other paid or unpaid benefits,
]
:
(i)
 of newly created full-time employment positions in a new commercial project
within the county
; and
(ii)
 that are at least 110% of the average wage of the county in which the employment
positions will exist; [
or
]
(c) with respect to a city or town, the aggregate average annual gross wages[
, not
including healthcare or other paid or unpaid benefits
]
:
(i)
 of newly created full-time employment positions in a new commercial project
within the city or town
; and
(ii)
 that are at least 110% of the average wages of the city or town in which the
employment positions will exist[
.
]
; or
(d) with respect to the Military Installation Development Authority, the aggregate
average annual gross wages:
(i) of newly created full-time employment positions in a new commercial project
within the city or town that is closest to the location of the authority project area; and
(ii) that are at least 110% of the average wages of the city or town.
[
(5)
] 
(7)
 "Local government entity" means
:
(a)
 a county, city, or town that enters into an agreement with the office to have a new
commercial project that:
[
(a)
] 
(i)
 is initiated within the county's, city's, or town's boundaries; and
[
(b)
] 
(ii)
 qualifies the county, city, or town to receive a tax credit under Section
59-7-614.2
[
.
]
; or
(b) the Military Installation Development Authority, if the Military Installation
Development Authority enters into an agreement described in Subsection (7)(a).
[
(6)
] 
(8)
 (a) "New commercial project" means an economic development opportunity
that involves new or expanded industrial, manufacturing, distribution, or business services in
Utah.
(b) "New commercial project" does not include retail business.
[
(7)
] 
(9)
 (a) "New incremental jobs" means full-time employment positions that are
filled by employees who work at least 30 hours per week and that are:
(i) with respect to a business entity, created in addition to the baseline count of
employment positions that existed within the business entity before the new commercial
project;
(ii) with respect to a county, created as a result of a new commercial project with
respect to which the county or a community development and renewal agency seeks to claim a
tax credit under Section 
59-7-614.2
; or
(iii) with respect to a city or town 
or the Military Installation Development Authority
,
created as a result of a new commercial project with respect to which the city, town, [
or a
]
community development and renewal agency
, or Military Installation Development Authority
seeks to claim a tax credit under Section 
59-7-614.2
.
(b) "New incremental jobs" may include full-time equivalent positions that are filled by
more than one employee, if each employee who works less than 30 hours per week is provided
benefits comparable to a full-time employee.
(c) "New incremental jobs" does not include jobs that are shifted from one jurisdiction
in the state to another jurisdiction in the state.
[
(8)
] 
(10)
 "New state revenues" means:
(a) with respect to a business entity:
(i) incremental new state sales and use tax revenues that a business entity pays under
Title 59, Chapter 12, Sales and Use Tax Act, as a result of a new commercial project in a
development zone;
(ii) incremental new state tax revenues that a business entity pays as a result of a new
commercial project in a development zone under:
(A) Title 59, Chapter 7, Corporate Franchise and Income Taxes;
(B) Title 59, Chapter 10, Part 1, Determination and Reporting of Tax Liability and
Information;
(C) Title 59, Chapter 10, Part 2, Trusts and Estates;
(D) Title 59, Chapter 10, Part 4, Withholding of Tax; or
(E) a combination of Subsections [
(8)
] 
(10)
(a)(ii)(A) through (D);
(iii) incremental new state tax revenues paid as individual income taxes under Title 59,
Chapter 10, Part 1, Determination and Reporting of Tax Liability and Information, by
employees of a new or expanded industrial, manufacturing, distribution, or business service
within a new commercial project as evidenced by payroll records that indicate the amount of
employee income taxes withheld and transmitted to the State Tax Commission by the new or
expanded industrial, manufacturing, distribution, or business service within the new
commercial project; or
(iv) a combination of Subsections [
(8)
] 
(10)
(a)(i) through (iii); or
(b) with respect to a local government entity:
(i) incremental new state sales and use tax revenues that are collected under Title 59,
Chapter 12, Sales and Use Tax Act, as a result of a new commercial project in a development
zone;
(ii) incremental new state tax revenues that are collected as a result of a new
commercial project in a development zone under:
(A) Title 59, Chapter 7, Corporate Franchise and Income Taxes;
(B) Title 59, Chapter 10, Part 1, Determination and Reporting of Tax Liability and
Information;
(C) Title 59, Chapter 10, Part 2, Trusts and Estates;
(D) Title 59, Chapter 10, Part 4, Withholding of Tax; or
(E) a combination of Subsections [
(8)
] 
(10)
(b)(ii)(A) through (D);
(iii) incremental new state tax revenues paid as individual income taxes under Title 59,
Chapter 10, Part 1, Determination and Reporting of Tax Liability and Information, by
employees of a new or expanded industrial, manufacturing, distribution, or business service
within a new commercial project as evidenced by payroll records that indicate the amount of
employee income taxes withheld and transmitted to the State Tax Commission by the new or
expanded industrial, manufacturing, distribution, or business service within the new
commercial project; or
(iv) a combination of Subsections [
(8)
] 
(10)
(b)(i) through (iii).
[
(9)
] 
(11)
 "Significant capital investment" means an amount of at least $10,000,000 to
purchase capital or fixed assets, which may include real property, personal property, and other
fixtures related to a new commercial project:
(a) that represents an expansion of existing operations in the state; or
(b) that maintains or increases the business entity's existing work force in the state.
[
(10)
] 
(12)
 "Tax credit" means an economic development tax credit created by Section
59-7-614.2
 or 
59-10-1107
.
[
(11)
] 
(13)
 "Tax credit amount" means the amount the office lists as a tax credit on a
tax credit certificate for a taxable year.
[
(12)
] 
(14)
 "Tax credit certificate" means a certificate issued by the office that:
(a) lists the name of the business entity, local government entity, or community
development and renewal agency to which the office authorizes a tax credit;
(b) lists the business entity's, local government entity's, or community development and
renewal agency's taxpayer identification number;
(c) lists the amount of tax credit that the office authorizes the business entity, local
government entity, or community development and renewal agency for the taxable year; and
(d) may include other information as determined by the office.
Section 10. 
 Coordinating S.B. 269 with H.B. 433 -- Superseding technical and
substantive amendments.
If this S.B. 269 and H.B. 433, Inland Port Amendments, both pass and become law, it is
the intent of the Legislature that the Office of Legislative Research and General Counsel shall
prepare the Utah Code database for publication by modifying Section 
63N-2-103
 as follows:
(1) insert a definition of "authority" that reads:
"(1) "Authority" means:
(a) the Utah Inland Port Authority, created in Section 
11-58-201
; or
(b) the Military Installation Development Authority, created in Section 
63H-1-201."
;
(2) amend the definition of "authority project area" to read:
""Authority project area" means a project area of:
(a) the Utah Inland Port Authority, created in Section 
11-58-201
; or
(b) the Military Installation Development Authority, created in Section 
63H-1-201."
;
(3) amend Subsection (6)(d) of the definition of "high paying jobs" to read:
"(d) with respect to an authority, the aggregate average annual gross wages:
(i) of newly created full-time employment positions in a new commercial project
within the city or town that is closest to the location of the authority project area; and
(ii) that are 110% of the average wages of the city or town.";
(4) delete Subsection (7), the definition of "inland port authority";
(5) amend the definition of "local government entity" to read:
""Local government entity" means a county, a city, a town, or an authority that enters
into an agreement with the office to have a new commercial project that:
(a) is initiated within:
(i) the boundary of the county, city, or town; or
(ii) an authority project area; and
(b) qualifies the county, city, town, or authority to receive a tax credit under Section
59-7-614.2."
;
(6) amend Subsection (9)(a)(iii) in the definition of "new incremental jobs" to read:
"(iii) with respect to a city, a town, or an authority, created as a result of a new
commercial project with respect to which the city, town, authority, or a community
development and renewal agency seeks to claim a tax credit under Section 
59-7-614.2."
; and
(7) renumber the remaining subsections and cross references to those subsections
accordingly.