Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 148 (2020GS)

Sponsor

Sen. Okerlund, R.

Final action

Governor Signed 3/30/2020

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• modifies definition provisions;
• requires review of rules made related to bonding requirements;
• modifies the process for imposing and collecting administrative penalties;
• creates the Oil and Gas Administrative Penalties Account; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

OIL AND GAS MODIFICATIONS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Ralph Okerlund
House Sponsor: 
Carl R. Albrecht
LONG TITLE
General Description:
This bill addresses the regulation of oil and gas activities.
Highlighted Provisions:
This bill:
▸ modifies definition provisions;
▸ requires review of rules made related to bonding requirements;
▸ modifies the process for imposing and collecting administrative penalties;
▸ creates the Oil and Gas Administrative Penalties Account; and
▸ makes technical and conforming changes. 
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
40-6-2
, as last amended by Laws of Utah 2017, Chapter 220
40-6-5
, as last amended by Laws of Utah 2012, Chapter 342
40-6-9.5
, as last amended by Laws of Utah 1989, Chapter 22
40-6-11
, as last amended by Laws of Utah 1987, Chapter 161
63I-1-263
, as last amended by Laws of Utah 2019, Chapters 89, 246, 311, 414, 468,
469, 482 and last amended by Coordination Clause, Laws of Utah 2019, Chapter
246
63I-2-263
, as last amended by Laws of Utah 2019, Chapters 182, 240, 246, 325, 370,
and 483
63J-1-602.1
, as last amended by Laws of Utah 2019, Chapters 89, 136, 213, 215, 244,
326, 342, and 482
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
40-6-2
 is amended to read:
40-6-2.
Definitions.
For the purpose of this chapter:
(1) "Board" means the Board of Oil, Gas, and Mining.
(2) "Correlative rights" means the opportunity of each owner in a pool to produce [
his
]
the owner's
 just and equitable share of the oil and gas in the pool without waste.
(3) "Condensate" means hydrocarbons, regardless of gravity, that:
(a) occur naturally in the gaseous phase in the reservoir; and
(b) are separated from the natural gas as liquids through the process of condensation
either in the reservoir, in the wellbore, or at the surface in field separators.
(4) "Consenting owner" means an owner who, in the manner and within the time frame
established by the board in rule, consents to the drilling and operation of a well and agrees to
bear the owner's proportionate share of the costs of the drilling and operation of the well.
(5) "Crude oil" means hydrocarbons, regardless of gravity, that:
(a) occur naturally in the liquid phase in the reservoir; and
(b) are produced and recovered at the wellhead in liquid form.
(6) "Division" means the Division of Oil, Gas, and Mining.
[
(6)
] 
(7)
 (a) "Gas" means natural gas, as defined in Subsection [
(9)
] 
(10)
, natural gas
liquids, as defined in Subsection [
(10)
] 
(11)
, other gas, as defined in Subsection [
(16)
] 
(17)
, or
any mixture of them.
(b) "Gas" does not include any gaseous or liquid substance processed from coal, oil
shale, or tar sands.
[
(7)
] 
(8)
 "Illegal oil" or "illegal gas" means oil or gas that has been produced from any
well within the state in violation of this chapter or any rule or order of the board.
[
(8)
] 
(9)
 "Illegal product" means any product derived in whole or in part from illegal
oil or illegal gas.
[
(9)
] 
(10)
 (a) "Natural gas" means hydrocarbons that occur naturally in the gaseous
phase in the reservoir and are produced and recovered at the wellhead in gaseous form, except
natural gas liquids as defined in Subsection [
(10)
] 
(11)
 and condensate as defined in Subsection
(3).
(b) "Natural gas" includes coalbed methane gas.
[
(10)
] 
(11)
 "Natural gas liquids" means hydrocarbons, regardless of gravity, that are
separated from natural gas as liquids in gas processing plants through the process of
condensation, absorption, adsorption, or other methods.
[
(11)
] 
(12)
 "Nonconsenting owner" means an owner who does not, after written notice
and in the manner and within the time frame established by the board in rule, consent to the
drilling and operation of a well or agree to bear the owner's proportionate share of the costs.
[
(12)
] 
(13)
 (a) "Oil" means crude oil, as defined in Subsection (5), condensate, as
defined in Subsection (3), or any mixture of them.
(b) "Oil" does not include any gaseous or liquid substance processed from coal, oil
shale, or tar sands.
[
(13)
] 
(14)
 "Oil and gas operations" means to explore for, develop, or produce oil and
gas.
[
(14)
] 
(15)
 (a) "Oil and gas proceeds" means any payment that:
(i) derives from oil and gas production from any well located in the state;
(ii) is expressed as a right to a specified interest in the:
(A) cash proceeds received from the sale of the oil and gas; or
(B) the cash value of the oil and gas; and
(iii) is subject to any tax withheld from the payment pursuant to law.
(b) "Oil and gas proceeds" includes a royalty interest, overriding royalty interest,
production payment interest, or working interest.
(c) "Oil and gas proceeds" does not include a net profits interest or other interest the
extent of which cannot be determined with reference to a specified share of:
(i) the cash proceeds received from the sale of the oil and gas; or
(ii) the cash value of the oil and gas.
[
(15)
] 
(16)
 "Operator" means a person who has been designated by the owners or the
board to operate a well or unit.
[
(16)
] 
(17)
 (a) "Other gas" means nonhydrocarbon gases that:
(i) occur naturally in the gaseous phase in the reservoir; or
(ii) are injected into the reservoir in connection with pressure maintenance, gas cycling,
or other secondary or enhanced recovery projects.
(b) "Other gas" includes hydrogen sulfide, carbon dioxide, helium, and nitrogen.
[
(17)
] 
(18)
 "Owner" means a person who has the right:
(a) to drill into and produce from a reservoir; and
(b) 
to
 appropriate the oil and gas produced for [
himself
] 
that person
 or for [
himself
]
that person
 and others.
[
(18)
] 
(19)
 "Payor" means the person who undertakes to distribute oil and gas proceeds
to the persons entitled to them, whether as the first purchaser of that production, as operator of
the well from which the production was obtained, or as lessee under the lease on which royalty
is due.
(20) "Person" means the same as that term is defined in Section 
68-3-12.5
 and includes
an operator or owner as used in this chapter.
[
(19)
] 
(21)
 "Pool" means an underground reservoir containing a common accumulation
of oil or gas or both. Each zone of a general structure that is completely separated from any
other zone in the structure is a separate pool. "Common source of supply" and "reservoir" are
synonymous with "pool."
[
(20)
] 
(22)
 "Pooling" means the bringing together of separately owned interests for the
common development and operation of a drilling unit.
[
(21)
] 
(23)
 "Producer" means the owner or operator of a well capable of producing oil
and gas.
[
(22)
] 
(24)
 "Product" means any commodity made from oil and gas.
[
(23)
] 
(25)
 "Surface land" means privately owned land:
(a) overlying privately owned oil and gas resources;
(b) upon which oil and gas operations are conducted; and
(c) owned by a surface land owner.
[
(24)
] 
(26)
 (a) "Surface land owner" means a person who owns, in fee simple absolute,
all or part of the surface land as shown by the records of the county where the surface land is
located.
(b) "Surface land owner" does not include the surface land owner's lessee, renter,
tenant, or other contractually related person.
[
(25)
] 
(27)
 "Surface land owner's property" means a surface land owner's:
(a) surface land;
(b) crops on the surface land; and
(c) existing improvements on the surface land.
[
(26)
] 
(28)
 "Surface use agreement" means an agreement between an owner or operator
and a surface land owner addressing:
(a) the use and reclamation of surface land owned by the surface land owner; and
(b) compensation for damage to the surface land caused by oil and gas operations that
result in:
(i) loss of the surface land owner's crops on the surface land;
(ii) loss of value of existing improvements owned by the surface land owner on the
surface land; and
(iii) permanent damage to the surface land.
[
(27)
] 
(29)
 "Waste" means:
(a) the inefficient, excessive, or improper use or the unnecessary dissipation of oil or
gas or reservoir energy;
(b) the inefficient storing of oil or gas;
(c) the locating, drilling, equipping, operating, or producing of any oil or gas well in a
manner that causes:
(i) a reduction in the quantity of oil or gas ultimately recoverable from a reservoir
under prudent and economical operations;
(ii) unnecessary wells to be drilled; or
(iii) the loss or destruction of oil or gas either at the surface or subsurface; or
(d) the production of oil or gas in excess of:
(i) transportation or storage facilities; or
(ii) the amount reasonably required to be produced as a result of the proper drilling,
completing, testing, or operating of a well or otherwise utilized on the lease from which it is
produced.
Section 2. Section 
40-6-5
 is amended to read:
40-6-5.
Jurisdiction of board -- Rules.
(1) The board has jurisdiction over all persons and property necessary to enforce this
chapter. The board shall [
enact
] 
make
 rules in accordance with [
the
] 
Title 63G, Chapter 3,
Utah Administrative Rulemaking Act.
(2) The board shall [
adopt
] 
make
 rules and [
make
] orders as necessary to administer
the following provisions:
(a) Ownership of all facilities for the production, storage, treatment, transportation,
refining, or processing of oil and gas shall be identified.
(b) Well logs, directional surveys, and reports on well location, drilling, and production
shall be made and filed with the division. Logs of wells marked "confidential" shall be kept
confidential for one year after the date on which the log is required to be filed, unless the
operator gives written permission to release the log at an earlier date. Production reports shall
be:
(i) filed monthly;
(ii) accurate; and
(iii) in a form that reasonably serves the needs of state agencies and private fee owners.
(c) Monthly reports from gas processing plants shall be filed with the division.
(d) Wells shall be drilled, cased, 
cemented,
 operated, and plugged in such manner as to
prevent:
(i) the escape of oil, gas, or water out of the reservoir in which they are found into
another formation;
(ii) the detrimental intrusion of water into an oil or gas reservoir;
(iii) the pollution of fresh water supplies by oil, gas, or salt water;
(iv) blowouts;
(v) cavings;
(vi) seepages;
(vii) fires; and
(viii) unreasonable:
(A) loss of a surface land owner's crops on surface land;
(B) loss of value of existing improvements owned by a surface land owner on surface
land; and
(C) permanent damage to surface land.
(e) The drilling of wells [
shall
] 
may
 not commence without an adequate and approved
supply of water as required by Title 73, Chapter 3, Appropriation. This [
provision
] 
Subsection
(2)(e)
 is not intended to impose [
any
] additional legal requirements, but to assure that existing
legal requirements concerning the use of water have been met [
prior to
] 
before
 the
commencement of drilling.
(f) [
The
] 
Subject to Subsection (9), an
 operator shall furnish a reasonable performance
bond or other good and sufficient surety, conditioned for the performance of the duty to:
(i) plug each dry or abandoned well;
(ii) repair each well causing waste or pollution;
(iii) maintain and restore the well site; and
(iv) except as provided in Subsection (8), protect a surface land owner against
unreasonable:
(A) loss of a surface land owner's crops on surface land;
(B) loss of value of existing improvements owned by a surface land owner on surface
land; and
(C) permanent damage to surface land.
(g) Production from wells shall be separated into oil and gas and measured by means
and upon standards that [
will be
] 
are
 prescribed by the board and [
will
] reflect current industry
standards.
(h) Crude oil obtained from any reserve pit, disposal pond or pit, or similar facility, and
any accumulation of nonmerchantable waste crude oil shall be treated and processed, as
prescribed by the board.
(i) Any person who produces, sells, purchases, acquires, stores, transports, refines, or
processes oil or gas or injects fluids for cycling, pressure maintenance, secondary or enhanced
recovery, or salt water disposal in this state shall maintain complete and accurate records of the
quantities produced, sold, purchased, acquired, stored, transported, refined, processed, or
injected for a period of at least six years. The records shall be available for examination by the
board or [
its
] 
the board's
 agents at any reasonable time. Rules enacted to administer this
[
subsection
] 
Subsection (2)(i)
 shall be consistent with applicable federal requirements.
(j) Any person with an interest in a lease shall be notified when all or part of that
interest in the lease is sold or transferred.
(k) The assessment and collection of administrative penalties is consistent with Section
40-6-11
.
(3) The board has the authority to regulate:
(a) all operations for and related to the production of oil or gas including:
(i) drilling, testing, equipping, completing, operating, producing, and plugging of
wells; and
(ii) reclamation of sites;
(b) the spacing and location of wells;
(c) operations to increase ultimate recovery, such as:
(i) cycling of gas;
(ii) the maintenance of pressure; and
(iii) the introduction of gas, water, or other substances into a reservoir;
(d) the disposal of salt water and oil-field wastes;
(e) the underground and surface storage of oil, gas, or products; and
(f) the flaring of gas from an oil well.
(4) For the purposes of administering this chapter, the board may designate:
(a) wells as:
(i) oil wells; or
(ii) gas wells; and
(b) pools as:
(i) oil pools; or
(ii) gas pools.
(5) The board has exclusive jurisdiction over:
(a) class II injection wells, as defined by the federal Environmental Protection Agency
or [
any
] 
a
 successor agency; and
(b) pits and ponds in relation to these injection wells.
(6) The board has jurisdiction:
(a) to hear [
any
] questions regarding multiple mineral development conflicts with oil
and gas operations if there:
(i) is potential injury to other mineral deposits on the same lands; or
(ii) are simultaneous or concurrent operations conducted by other mineral owners or
lessees affecting the same lands; and
(b) to enter [
its
] 
the board's
 order or rule with respect to those questions.
(7) The board has enforcement powers with respect to operators of minerals other than
oil and gas as are set forth in Section 
40-6-11
, for the sole purpose of enforcing multiple
mineral development issues.
(8) [
The provisions of
] Subsection (2)(f)(iv) [
do
] 
does
 not apply if the surface land
owner is a party to, or a successor of a party to:
(a) a lease of the underlying privately owned oil and gas;
(b) a surface use agreement applicable to the surface land owner's surface land; or
(c) a contract, waiver, or release addressing an owner's or operator's use of the surface
land owner's surface land.
(9) (a) The board shall review rules made under Subsection (2)(f) to determine whether
the rules provide adequate fiscal security for the fiscal risks to the state related to oil and gas
operations.
(b) During the board's review under this Subsection (9), the board may consider the
bonding schemes of other states.
Section 3. Section 
40-6-9.5
 is amended to read:
40-6-9.5.
Permits for crude oil production -- Application -- Bond requirement --
Closure of facilities -- Availability of records.
(1) The division may issue permits authorizing construction, operation, maintenance,
and cessation of treating facilities and operations covered by Subsection 
40-6-5
(2)(h) and to
approve, as part of that permit, post-cessation reclamation of the site.
(2) [
Each
] 
(a) An
 owner and operator of [
any
] 
a
 facility described in Subsection
40-6-5
(2)(h) or planning to construct, operate, or maintain a facility described in Subsection
40-6-5
(2)(h) shall submit to the division an application stating in detail
:
(i)
 the location, type, and capacity of the facility contemplated;
(ii)
 the extent and location of area disturbed or to be disturbed including[
, but not
limited to,
] any pits, ponds, or lands[
,
] associated with the facility;
(iii)
 a plan for reclamation of the site; and
(iv) 
other materials required by the division. [
All existing
]
(b) Existing
 facilities described in Subsection 
40-6-5
(2)(h) shall submit plans by July
28, 1985.
(c)
 Application for all planned facilities must be approved and a permit issued before
any ground clearing or construction may occur.
(3) 
(a)
 As a condition for approval of [
any
] 
a
 permit, the owner and operator shall post
a bond in an amount determined by the division to cover reclamation costs for the site
consistent with rules made to implement Subsection 
40-6-5
(2)(f)
.
(b)
 Approval of [
any
] 
a
 permit is also conditioned upon compliance with [
all
] 
the
 laws,
rules, and orders of the board.
(c)
 Failure to post the bond is considered sufficient grounds to deny a permit.
(4) The board may order the closure of [
any
] 
a
 facility described in Subsection
40-6-5
(2)(h) if
:
(a)
 an application is not forthcoming in the time allowed in Subsection (2)[
,
]
;
(b)
 a bond is not posted[
,
]
;
(c)
 a violation of the rules and regulations of other state or federal agencies exists[
,
]
;
 or
(d)
 for other material and substantial cause.
(5) The owner and operator are subject to [
all
] applicable state, federal, and local rules
and regulations.
(6) The records required to be kept by Subsection 
40-6-5
(2)(i) shall be available for
inspection and audit by the board or [
its
] 
the board's
 agents during reasonable working hours.
Section 4. Section 
40-6-11
 is amended to read:
40-6-11.
Power to summon witnesses, administer oaths and require production of
records -- Enforcement -- Penalties for violation of chapter or rules -- Illegal oil or gas --
Civil liability -- Restricted account.
(1) [
The
] 
At a hearing or investigation conducted by the board, the
 board may
:
 (a)
 summon witnesses[
,
]
;
(b)
 administer oaths[
,
]
;
 and
(c)
 require the production of records, books, and documents for examination [
at any
hearing or investigation conducted by it
].
(2) (a) If [
any
] 
a
 person fails or refuses to comply with a subpoena issued by the board,
or fails or refuses to testify about any matter, the board may apply to [
any
] 
a
 district court in the
state for an order compelling that person to
:
(i)
 comply with the subpoena[
, and to
]
;
(ii)
 attend before the board [
and
]
;
(iii)
 produce the subpoenaed records, books, and documents for examination[
,
]
;
 and
[
to
]
(iv)
 give [
his
] 
the person's
 testimony.
(b) The court may punish the person for contempt as if [
he
] 
the person
 disobeyed a
subpoena issued by the court, or if [
he
] 
the person
 refused to testify in a court.
(3) (a) Whenever it appears that [
any
] 
a
 person is violating [
any provision of
] this
chapter or [
any
] 
a
 rule or order made under the authority of this chapter, the board may issue an
order requiring compliance within a period not to exceed [
] 
 days.
(b) The board may bring suit in the name of the state against [
any
] 
a
 person violating
this chapter, or rules or orders made under the authority of this chapter if:
(i) the violation continues after expiration of the time period granted in Subsection
(3)(a);
(ii) the violation presents an immediate threat to public health, safety, or welfare; or
(iii) the violation would cause waste.
(4) (a) [
If
] 
Subject to the requirements of this Subsection (4), if
 the board 
or division
determines, after an adjudicative proceeding 
conducted in accordance with Title 63G, Chapter
4, Administrative Procedures Act
, that [
any
] 
a
 person has violated [
any provision of
] this
chapter, or [
any
] 
a
 permit, rule, or order made under [
the provisions of
] this chapter, [
that
person is subject, in a civil proceeding, to a penalty not exceeding
] 
the board or division may
impose an administrative penalty on the person not to exceed
 $5,000 per day for each day of
violation.
(b) If the board determines that the violation is willful, 
the board may impose an
administrative penalty on
 that person [
may be fined not more than
] 
not to exceed
 $10,000 for
each day of violation.
(c) The board shall, by rule made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act, establish a standardized violation schedule to set the
violations and the associated administrative penalty for each violation.
(d) A single violation shall result in a single administrative penalty, that may be
imposed on a daily basis for each day that the violation remains unresolved following the
assessment of the administrative penalty or completion of the appeal.
(e) Before initiation of an adjudicative proceeding or assessing an administrative
penalty, and except for circumstances provided in Subsection (5)(b), the division shall provide
a notice of violation to the owner and operator in the form and manner set forth by board rule,
made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act. The rule
made under this Subsection (4)(e) shall, at a minimum, require the notice to set forth the
actions necessary to cure the violation and a reasonable period of time to cure the violation.
(f) Should an owner or operator fail to cure the violation as set out in the notice of
violation under Subsection (4)(e), the division may initiate an adjudicative proceeding
conducted in accordance with Title 63G, Chapter 4, Administrative Procedures Act.
(g) Administrative penalties assessed by the division or the board may not exceed
$200,000 per violation per person.
(h) An administrative penalty assessed by the division may be appealed to the board
within 30 days of the assessment.
(i) If a violation remains unabated and the maximum penalty amount has accrued, the
division may request an emergency order from the board requiring the operator or person to
suspend operations of the well or facility in violation. Operations may only resume upon
abatement of the violation.
(5) If ordered to do so by the board, the director of the division may order the
immediate closure or shutdown of any well that is operating in violation of [
the provisions of
]
this chapter, if the closure or shutdown will not cause waste or is necessary because of an
immediate threat to public health, safety, or welfare.
(6) (a) [
No
] 
A
 person may 
not
 sell, purchase, acquire, transport, refine, process, or
handle illegal oil, gas, or product, if the person knows or has reason to know that the oil, gas, or
product is illegal.
(b) The court in the district where the illegal oil, gas, or product is found, shall, after
notice and hearing in an action brought by the board, order the product to be seized and sold,
and the proceeds returned or held for the legal owner.
(7) (a) [
Nothing in this
] 
This
 chapter, [
and no
] 
a
 suit by or against the board, and [
no
] 
a
violation charged or asserted against [
any
] 
a
 person under [
any provisions of
] this chapter, or
[
any
] 
a
 rule or order issued under the authority of this chapter, [
shall
] 
may not
 impair, abridge,
or delay [
any
] 
a
 cause of action for damages that [
any
] 
a
 person may have or assert against any
person violating [
any provision of
] this chapter, or [
any
] 
a
 rule or order issued under the
authority of this chapter.
(b) [
Any
] 
A
 person damaged by [
any
] 
a
 violation may sue for and recover whatever
damages that [
he
] 
the person
 otherwise may be entitled to receive.
(8) After an administrative penalty is assessed under this chapter, the division may
collect that administrative penalty as if the administrative penalty were a judgment issued by a
court of law so long as the penalized person was provided with notice of the violation, a
reasonable opportunity to cure, and an opportunity for a hearing under Title 63G, Chapter 4,
Administrative Procedures Act, and the administrative and appellate remedies are exhausted.
(9) (a) There is created within the General Fund a restricted account known as the "Oil
and Gas Administrative Penalties Account."
(b) The Oil and Gas Administrative Penalties Account shall consist of:
(i) administrative penalties collected by the board or division under this chapter; and
(ii) interest earned on the Oil and Gas Administrative Penalties Account.
(c) The Oil and Gas Administrative Penalties Account shall earn interest.
(d) Subject to appropriation by the Legislature, the division may use money in the Oil
and Gas Administrative Penalties Account to offset:
(i) risks to the public health, safety, or welfare caused by oil and gas operations for
impacts and activities covered by bonding; or
(ii) other direct impacts to the general public from oil and gas development as
identified by the board and the executive director of the Department of Natural Resources at a
public hearing that are not otherwise addressed through performance bonds allowed by
Subsection 
40-6-5
(2)(f).
(e) In accordance with Section 
63J-1-602.1
, appropriations from the Oil and Gas
Administrative Penalty Account are nonlapsing.
Section 5. Section 
63I-1-263
 is amended to read:
63I-1-263.
Repeal dates, Titles 63A to 63N.
(1) In relation to the Utah Transparency Advisory Board, on January 1, 2025:
(a) Subsection 
63A-1-201
(1) is repealed;
(b) Subsection 
63A-1-202
(2)(c), the language that states "using criteria established by
the board" is repealed;
(c) Section 
63A-1-203
 is repealed;
(d) Subsections 
63A-1-204
(1) and (2), the language that states "After consultation with
the board, and" is repealed; and
(e) Subsection 
63A-1-204
(1)(b), the language that states "using the standards provided
in Subsection 
63A-1-203
(3)(c)" is repealed.
(2) Subsection 
63A-5-228
(2)(h), relating to prioritizing and allocating capital
improvement funding, is repealed on July 1, 2024.
(3) Section 
63A-5-603
, State Facility Energy Efficiency Fund, is repealed July 1, 2023.
(4) Title 63C, Chapter 4a, Constitutional and Federalism Defense Act, is repealed July
1, 2028.
(5) Title 63C, Chapter 6, Utah Seismic Safety Commission, is repealed January 1,
2025.
(6) Title 63C, Chapter 16, Prison Development Commission Act, is repealed July 1,
2020.
(7) Title 63C, Chapter 17, Point of the Mountain Development Commission Act, is
repealed July 1, 2021.
(8) Title 63C, Chapter 18, Mental Health Crisis Line Commission, is repealed July 1,
2023.
(9) Title 63G, Chapter 21, Agreements to Provide State Services, is repealed July 1,
2025.
(10) Title 63H, Chapter 4, Heber Valley Historic Railroad Authority, is repealed July 1,
2020.
(11) In relation to the State Fair Corporation Board of Directors, on January 1, 2025:
(a) Subsection 
63H-6-104
(2)(c), related to a Senate appointment, is repealed;
(b) Subsection 
63H-6-104
(2)(d), related to a House appointment, is repealed;
(c) in Subsection 
63H-6-104
(2)(e), the language that states ", of whom only one may
be a legislator, in accordance with Subsection (3)(e)," is repealed;
(d) Subsection 
63H-6-104
(3)(a)(i) is amended to read:
"(3)(a)(i) Except as provided in Subsection (3)(a)(ii), a board member appointed under
Subsection (2)(e) or (f) shall serve a term that expires on the December 1 four years after the
year that the board member was appointed.";
(e) in Subsections 
63H-6-104
(3)(a)(ii), (c)(ii), and (d), the language that states "the
president of the Senate, the speaker of the House, the governor," is repealed and replaced with
"the governor"; and
(f) Subsection 
63H-6-104
(3)(e), related to limits on the number of legislators, is
repealed.
(12) Title 63H, Chapter 8, Utah Housing Corporation Act, is repealed July 1, 2026.
(13) Section 
63M-7-212
 is repealed on December 31, 2019.
(14) On July 1, 2025:
(a) in Subsection 
17-27a-404
(3)(c)(ii), the language that states "the Resource
Development Coordinating Committee," is repealed;
(b) Subsection 
23-14-21
(2)(c) is amended to read "(c) provide notification of proposed
sites for the transplant of species to local government officials having jurisdiction over areas
that may be affected by a transplant.";
(c) in Subsection 
23-14-21
(3), the language that states "and the Resource Development
Coordinating Committee" is repealed;
(d) in Subsection 
23-21-2.3
(1), the language that states "the Resource Development
Coordinating Committee created in Section 
63J-4-501
 and" is repealed;
(e) in Subsection 
23-21-2.3
(2), the language that states "the Resource Development
Coordinating Committee and" is repealed;
(f) Subsection 
63J-4-102
(1) is repealed and the remaining subsections are renumbered
accordingly;
(g) Subsections 
63J-4-401
(5)(a) and (c) are repealed;
(h) Subsection 
63J-4-401
(5)(b) is renumbered to Subsection 
63J-4-401
(5)(a) and the
word "and" is inserted immediately after the semicolon;
(i) Subsection 
63J-4-401
(5)(d) is renumbered to Subsection 
63J-4-401
(5)(b);
(j) Sections 
63J-4-501
, 
63J-4-502
, 
63J-4-503
, 
63J-4-504
, and 
63J-4-505
 are repealed;
and
(k) Subsection 
63J-4-603
(1)(e)(iv) is repealed and the remaining subsections are
renumbered accordingly.
(15) Subsection 
63J-1-602.1
(13), Nurse Home Visiting Restricted Account is repealed
July 1, 2026.
(16) Subsection 
63J-1-602.2
(4), referring to dedicated credits to the Utah Marriage
Commission, is repealed July 1, 2023.
(17) Subsection 
63J-1-602.2
(5), referring to the Trip Reduction Program, is repealed
July 1, 2022.
(18) (a) Subsection 
63J-1-602.1
[
(53)
]
(56)
, relating to the Utah Statewide Radio System
Restricted Account, is repealed July 1, 2022.
(b) When repealing Subsection 
63J-1-602.1
[
(53)
]
(56)
, the Office of Legislative
Research and General Counsel shall, in addition to the office's authority under Subsection
36-12-12
(3), make necessary changes to subsection numbering and cross references.
(19) Subsection 
63J-1-602.2
(23), related to the Utah Seismic Safety Commission, is
repealed January 1, 2025.
(20) Subsection 
63J-4-708
(1), in relation to the Talent Ready Utah Board, on January
1, 2023, is amended to read:
"(1) On or before October 1, the board shall provide an annual written report to the
Social Services Appropriations Subcommittee and the Economic Development and Workforce
Services Interim Committee.".
(21) In relation to the Utah Substance Use and Mental Health Advisory Council, on
January 1, 2023:
(a) Sections 
63M-7-301
, 
63M-7-302
, 
63M-7-303
, 
63M-7-304
, and 
63M-7-306
 are
repealed;
(b) Section 
63M-7-305
, the language that states "council" is replaced with
"commission";
(c) Subsection 
63M-7-305
(1) is repealed and replaced with:
"(1) "Commission" means the Commission on Criminal and Juvenile Justice."; and
(d) Subsection 
63M-7-305
(2) is repealed and replaced with:
"(2) The commission shall:
(a) provide ongoing oversight of the implementation, functions, and evaluation of the
Drug-Related Offenses Reform Act; and
(b) coordinate the implementation of Section 
77-18-1.1
 and related provisions in
Subsections 
77-18-1
(5)(b)(iii) and (iv).".
(22) The Crime Victim Reparations and Assistance Board, created in Section
63M-7-504
, is repealed July 1, 2027.
(23) Title 63M, Chapter 11, Utah Commission on Aging, is repealed July 1, 2021.
(24) Subsection 
63N-1-301
(4)(c), related to the Talent Ready Utah Board, is repealed
on January 1, 2023.
(25) Title 63N, Chapter 2, Part 2, Enterprise Zone Act, is repealed July 1, 2028.
(26) (a) Title 63N, Chapter 2, Part 4, Recycling Market Development Zone Act, is
repealed January 1, 2021.
(b) Subject to Subsection (26)(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 (26)(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.
(27) Section 
63N-2-512
 is repealed on July 1, 2021.
(28) (a) Title 63N, Chapter 2, Part 6, 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 (28)(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 
63N-2-603
 on or before December 31, 2023.
(29) Subsections 
63N-3-109
(2)(e) and 
63N-3-109
(2)(f)(i) are repealed July 1, 2023.
(30) Title 63N, Chapter 4, Part 4, Rural Employment Expansion Program, is repealed
July 1, 2023.
(31) Title 63N, Chapter 9, Part 2, Outdoor Recreational Infrastructure Grant Program,
is repealed January 1, 2023.
(32) In relation to the Pete Suazo Utah Athletic Commission, on January 1, 2021:
(a) Subsection 
63N-10-201
(2)(a) is amended to read:
"(2) (a) The governor shall appoint five commission members with the advice and
consent of the Senate.";
(b) Subsection 
63N-10-201
(2)(b), related to legislative appointments, is repealed;
(c) in Subsection 
63N-10-201
(3)(a), the language that states ", president, or speaker,
respectively," is repealed; and
(d) Subsection 
63N-10-201
(3)(d) is amended to read:
"(d) The governor may remove a commission member for any reason and replace the
commission member in accordance with this section.".
(33) In relation to the Talent Ready Utah Board, on January 1, 2023:
(a) Subsection 
9-22-102
(16) is repealed;
(b) in Subsection 
9-22-114
(2), the language that states "Talent Ready Utah," is
repealed; and
(c) in Subsection 
9-22-114
(5), the language that states "representatives of Talent Ready
Utah," is repealed.
(34) Title 63N, Chapter 12, Part 5, Talent Ready Utah Center, is repealed January 1,
2023.
Section 6. Section 
63I-2-263
 is amended to read:
63I-2-263.
Repeal dates, Title 63A to Title 63N.
(1) On July 1, 2020:
(a) Subsection 
63A-1-203
(5)(a)(i) is repealed; and
(b) in Subsection 
63A-1-203
(5)(a)(ii), the language that states "appointed on or after
May 8, 2018," is repealed.
(2) Sections 
63C-4a-307
 and 
63C-4a-309
 are repealed January 1, 2020.
(3) Title 63C, Chapter 19, Higher Education Strategic Planning Commission is
repealed July 1, 2020.
(4) The following sections regarding the World War II Memorial Commission are
repealed on July 1, 2020:
(a) Section 
63G-1-801
;
(b) Section 
63G-1-802
;
(c) Section 
63G-1-803
; and
(d) Section 
63G-1-804
.
(5) In relation to the State Fair Park Committee, on January 1, 2021:
(a) Section 
63H-6-104.5
 is repealed; and
(b) Subsections 
63H-6-104
(8) and (9) are repealed.
(6) Section 
63H-7a-303
 is repealed on July 1, 2022.
(7) In relation to the Employability to Careers Program Board, on July 1, 2022:
(a) Subsection 
63J-1-602.1
[
(52)
]
(57)
 is repealed;
(b) Subsection 
63J-4-301
(1)(h), related to the review of data and metrics, is repealed;
and
(c) Title 63J, Chapter 4, Part 7, Employability to Careers Program, is repealed.
(8) Section 
63J-4-708
 is repealed January 1, 2023.
Section 7. Section 
63J-1-602.1
 is amended to read:
63J-1-602.1.
List of nonlapsing appropriations from accounts and funds.
Appropriations made from the following accounts or funds are nonlapsing:
(1) The Utah Intracurricular Student Organization Support for Agricultural Education
and Leadership Restricted Account created in Section 
4-42-102
.
(2) The Native American Repatriation Restricted Account created in Section 
9-9-407
.
(3) The Martin Luther King, Jr. Civil Rights Support Restricted Account created in
Section 
9-18-102
.
(4) The National Professional Men's Soccer Team Support of Building Communities
Restricted Account created in Section 
9-19-102
.
(5) Funds collected for directing and administering the C-PACE district created in
Section 
11-42a-302
.
(6) The "Support for State-Owned Shooting Ranges Restricted Account" created in
Section 
23-14-13.5
.
(7) Award money under the State Asset Forfeiture Grant Program, as provided under
Section 
24-4-117
.
(8) Funds collected from the program fund for local health department expenses
incurred in responding to a local health emergency under Section 
26-1-38
.
(9) Funds collected from the emergency medical services grant program, as provided in
Section 
26-8a-207
.
(10) The Children with Cancer Support Restricted Account created in Section
26-21a-304
.
(11) State funds for matching federal funds in the Children's Health Insurance Program
as provided in Section 
26-40-108
.
(12) The Children with Heart Disease Support Restricted Account created in Section
26-58-102
.
(13) The Nurse Home Visiting Restricted Account created in Section 
26-63-601
.
(14) The Technology Development Restricted Account created in Section 
31A-3-104
.
(15) The Criminal Background Check Restricted Account created in Section
31A-3-105
.
(16) The Captive Insurance Restricted Account created in Section 
31A-3-304
, except
to the extent that Section 
31A-3-304
 makes the money received under that section free revenue.
(17) The Title Licensee Enforcement Restricted Account created in Section
31A-23a-415
.
(18) The Health Insurance Actuarial Review Restricted Account created in Section
31A-30-115
.
(19) The Insurance Fraud Investigation Restricted Account created in Section
31A-31-108
.
(20) The Underage Drinking Prevention Media and Education Campaign Restricted
Account created in Section 
32B-2-306
.
(21) The School Readiness Restricted Account created in Section 
35A-15-203
.
(22) Money received by the Utah State Office of Rehabilitation for the sale of certain
products or services, as provided in Section 
35A-13-202
.
(23) The Oil and Gas Administrative Penalties Account created in Section 
40-6-11
.
[
(23)
] 
(24)
 The Oil and Gas Conservation Account created in Section 
40-6-14.5
.
[
(24)
] 
(25)
 The Electronic Payment Fee Restricted Account created by Section
41-1a-121
 to the Motor Vehicle Division.
[
(25)
] 
(26)
 The Motor Vehicle Enforcement Division Temporary Permit Restricted
Account created by Section 
41-3-110
 to the State Tax Commission.
[
(26)
] 
(27)
 The Utah Law Enforcement Memorial Support Restricted Account created
in Section 
53-1-120
.
[
(27)
] 
(28)
 The State Disaster Recovery Restricted Account to the Division of
Emergency Management, as provided in Section 
53-2a-603
.
[
(28)
] 
(29)
 The Department of Public Safety Restricted Account to the Department of
Public Safety, as provided in Section 
53-3-106
.
[
(29)
] 
(30)
 The Utah Highway Patrol Aero Bureau Restricted Account created in
Section 
53-8-303
.
[
(30)
] 
(31)
 The DNA Specimen Restricted Account created in Section 
53-10-407
.
[
(31)
] 
(32)
 The Canine Body Armor Restricted Account created in Section 
53-16-201
.
[
(32)
] 
(33)
 The Technical Colleges Capital Projects Fund created in Section
53B-2a-118
.
[
(33)
] 
(34)
 The Higher Education Capital Projects Fund created in Section
53B-22-202
.
[
(34)
] 
(35)
 A certain portion of money collected for administrative costs under the
School Institutional Trust Lands Management Act, as provided under Section 
53C-3-202
.
[
(35)
] 
(36)
 The Public Utility Regulatory Restricted Account created in Section
54-5-1.5
, subject to Subsection 
54-5-1.5
(4)(d).
[
(36)
] 
(37)
 Funds collected from a surcharge fee to provide certain licensees with
access to an electronic reference library, as provided in Section 
58-3a-105
.
[
(37)
] 
(38)
 Certain fines collected by the Division of Occupational and Professional
Licensing for violation of unlawful or unprofessional conduct that are used for education and
enforcement purposes, as provided in Section 
58-17b-505
.
[
(38)
] 
(39)
 Funds collected from a surcharge fee to provide certain licensees with
access to an electronic reference library, as provided in Section 
58-22-104
.
[
(39)
] 
(40)
 Funds collected from a surcharge fee to provide certain licensees with
access to an electronic reference library, as provided in Section 
58-55-106
.
[
(40)
] 
(41)
 Funds collected from a surcharge fee to provide certain licensees with
access to an electronic reference library, as provided in Section 
58-56-3.5
.
[
(41)
] 
(42)
 Certain fines collected by the Division of Occupational and Professional
Licensing for use in education and enforcement of the Security Personnel Licensing Act, as
provided in Section 
58-63-103
.
[
(42)
] 
(43)
 The Relative Value Study Restricted Account created in Section 
59-9-105
.
[
(43)
] 
(44)
 The Cigarette Tax Restricted Account created in Section 
59-14-204
.
[
(44)
] 
(45)
 Funds paid to the Division of Real Estate for the cost of a criminal
background check for a mortgage loan license, as provided in Section 
61-2c-202
.
[
(45)
] 
(46)
 Funds paid to the Division of Real Estate for the cost of a criminal
background check for principal broker, associate broker, and sales agent licenses, as provided
in Section 
61-2f-204
.
[
(46)
] 
(47)
 Certain funds donated to the Department of Human Services, as provided in
Section 
62A-1-111
.
[
(47)
] 
(48)
 The National Professional Men's Basketball Team Support of Women and
Children Issues Restricted Account created in Section 
62A-1-202
.
[
(48)
] 
(49)
 Certain funds donated to the Division of Child and Family Services, as
provided in Section 
62A-4a-110
.
[
(49)
] 
(50)
 The Choose Life Adoption Support Restricted Account created in Section
62A-4a-608
.
[
(50)
] 
(51)
 Funds collected by the Office of Administrative Rules for publishing, as
provided in Section 
63G-3-402
.
[
(51)
] 
(52)
 The Immigration Act Restricted Account created in Section 
63G-12-103
.
[
(52)
] 
(53)
 Money received by the military installation development authority, as
provided in Section 
63H-1-504
.
[
(53)
] 
(54)
 The Computer Aided Dispatch Restricted Account created in Section
63H-7a-303
.
[
(54)
] 
(55)
 The Unified Statewide 911 Emergency Service Account created in Section
63H-7a-304
.
[
(55)
] 
(56)
 The Utah Statewide Radio System Restricted Account created in Section
63H-7a-403
.
[
(56)
] 
(57)
 The Employability to Careers Program Restricted Account created in
Section 
63J-4-703
.
[
(57)
] 
(58)
 The Motion Picture Incentive Account created in Section 
63N-8-103
.
[
(58)
] 
(59)
 Certain money payable for expenses of the Pete Suazo Utah Athletic
Commission, as provided under Section 
63N-10-301
.
[
(59)
] 
(60)
 Funds collected by the housing of state probationary inmates or state parole
inmates, as provided in Subsection 
64-13e-104
(2).
[
(60)
] 
(61)
 Certain forestry and fire control funds utilized by the Division of Forestry,
Fire, and State Lands, as provided in Section 
65A-8-103
.
[
(61)
] 
(62)
 The Transportation of Veterans to Memorials Support Restricted Account
created in Section 
71-14-102
.
[
(62)
] 
(63)
 The Amusement Ride Safety Restricted Account, as provided in Section
72-16-204
.
[
(63)
] 
(64)
 Certain funds received by the Office of the State Engineer for well drilling
fines or bonds, as provided in Section 
73-3-25
.
[
(64)
] 
(65)
 The Water Resources Conservation and Development Fund, as provided in
Section 
73-23-2
.
[
(65)
] 
(66)
 Funds donated or paid to a juvenile court by private sources, as provided in
Subsection 
78A-6-203
(1)(c).
[
(66)
] 
(67)
 Fees for certificate of admission created under Section 
78A-9-102
.
[
(67)
] 
(68)
 Funds collected for adoption document access as provided in Sections
78B-6-141
, 
78B-6-144
, and 
78B-6-144.5
.
[
(68)
] 
(69)
 Funds collected for indigent defense as provided in Title 78B, Chapter 22,
Part 4, Utah Indigent Defense Commission.
[
(69)
] 
(70)
 Revenue for golf user fees at the Wasatch Mountain State Park, Palisades
State Park, Jordan River State Park, and Green River State Park, as provided under Section
79-4-403
.
[
(70)
] 
(71)
 Certain funds received by the Division of Parks and Recreation from the
sale or disposal of buffalo, as provided under Section 
79-4-1001
.