2. 2
Introduce you to the Utah State
Legislature
Alert you to important issues under
consideration
• This presentation is a source of general information for clients and friends of Parsons Behle
& Latimer. Its content should not be construed as legal advice and attendees should not act
upon the information in the presentation without consulting legal counsel
Goal of Today’s Presentation
3. 3
I. Utah Legislature 101
II. 2013 Session Preview
III. Protecting your Business by Playing
an Active Role
Please ask questions throughout
Order of Play
4. 4
Lots of turnover, especially in the House
Very few long-standing members in the
House
– Speaker Lockhart, elected 1998
Senate relatively stable
– Senator Hillyard, elected 1984
– Senators Harper, Vickers, many others over
time have moved from the House to the
Senate
Composition of Legislature
6. 6
Large freshman and sophomore class will
change the dynamic
– Fresh approaches
– Issues considered in the past may be revisited
– Completely new dynamic
Disparity between the tone of the House
and demeanor of the Senate will be
exaggerated
Relevance of Turnover
7. 7
Republican team remains stable, except
for new deputy whip Rep. Ipson
Democratic team has changed
– Rep. Seelig
– Rep. Cosgrove
– Rep. Chavez-Houck
– Rep. Briscoe
House Leadership
8. 8
Republican team completely new
– Sen. Niederhauser
– Sen. Okerlund
– Sen. Adams
– Sen. Knudson
Senate Republican Leadership
9. 9
Democratic team has changed too
– Sen. Davis
– Sen. Mayne
– Sen. Jones
– Sen. Robles
Only one member not in leadership/late
appointee
Senate Democratic Leadership
11. 11
Patrick Henry caucus mostly gone
– Doesn’t mean legislature will be more liberal
Lots of lawyers
New faces in important roles
– Rep. Sanpei over Rules
Utah positively mainstream compared to
Nevada
Other Dynamics
12. 12
Budget
Education
Guns
Environmental Regulation
Transportation
Obamacare
New Federalism
The Sexy Stuff (always at the end)
2013 Legislative Session
13. 13
State will have budget surplus
State has at least $284 million in new
needs (new student growth, wildfires, etc.)
Budget
14. 14
Federal actions have a huge effect on
Utah
Budget surplus was to have been $300 –
400 million before the fiscal cliff deal
With deal, somewhere between $105
million and $300 million – likely on the
lower end of that range
First Fiscal Cliff
15. 15
Sequestration cuts pushed to the end of
March
Sequestration impact could be $550
million
What will happen?
Second Fiscal Cliff
16. 16
Utah budgeting always very conservative
Numerous awards for best-managed state
Likely to respond to current uncertainty by
passing flat budget, waiting to spend
surplus until impact of federal decisions
are known
Even some talk about passing budget with
5% reduction
Our Best Guess
17. 17
Governor’s budget calls for $298 million
increase
Federal uncertainty likely to affect funding
Increased interest in accountability and
transparency
– Pushback from educators
Education
18. 18
Guns already allowed in parking lots
Disorderly conduct (Rep. Ray)
No need for concealed weapons permit
(Rep. Mathis)
Third-degree felony for federal official to
enforce federal gun laws within Utah
borders (Rep. Greene)
Guns in the Workplace
19. 19
Gun rights fervor may spill over into the
workplace
– Open carry
– No employer restrictions allowed?
Guns in the Workplace
20. 20
Bill to disband DEQ
Business community will be activated
against it
Protection of “delegated” state programs
Environmental Regulation
21. 21
Many major projects have been completed
Still funding shortfall, especially for
maintenance
Interest in new funding sources
– Congestion pricing not ready for prime time
Gas tax
– Index it for inflation?
Sales tax on gasoline
Transportation
22. 22
This is the time to make some important
decisions
Will state run their own exchange?
– Feds say they will “work with Utah”
– Real flexibility unlikely
– Likely to be a federal exchange
Medicaid expansion unlikely
Obamacare
23. 23
Restore full sales tax on food?
Probably not
Income tax increase for education?
Definitely not
Severance tax changes being proposed by
Prosperity 2020? Maybe
Increased exemption for personal property
tax for business? Maybe
Taxes? No, No, Maybe, Maybe
24. 24
Increasing anger at federal government
Continued push to get control of federal
lands
Could go well beyond lands
– Federal executive orders don’t apply in Utah?
New Federalism
25. 25
Move the prison?
– Perfect storm of low interest rates, low
construction costs
– PRDA voted unanimously to do it
– Cost about $550 million
– Trick will be how to fund it
– We don’t want to be Santa Clara County
• $180 million became $6.1 billion in 50 years
(inflation adjustment = $1.33 billion)
Sexy Issues
26. 26
Ethics Reform
Motorcycle Helmets
Hair Braiding (Licensing, in general)
Immigration
Alcohol
Mechanic’s Liens
Water Rights
Other Sexy Issues
27. 27
Get Involved
– Participate in the political process
– Educate yourself / Stay informed
If you see an issue of concern, what can
you do about it?
– Build a coalition
– Contact your legislator (le.state.ut.us)
Protecting Your Business
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We’re here to help – never be reluctant
to call
– About taxation …
– or guns in the workplace…
– or even hair braiding
Don’t Hesitate to Call