1 | 1 | | 01-21 09:00 H.B. 286 |
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2 | 2 | | 1 |
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3 | 3 | | Olene Walker Housing Loan Fund Amendments |
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4 | 4 | | 2025 GENERAL SESSION |
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5 | 5 | | STATE OF UTAH |
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6 | 6 | | Chief Sponsor: Carol S. Moss |
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7 | 7 | | 2 |
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8 | 8 | | |
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9 | 9 | | 3 |
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10 | 10 | | LONG TITLE |
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11 | 11 | | 4 |
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12 | 12 | | General Description: |
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13 | 13 | | 5 |
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14 | 14 | | This bill modifies provisions related to the Olene Walker Housing Loan Fund within the |
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15 | 15 | | 6 |
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16 | 16 | | Department of Workforce Services. |
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17 | 17 | | 7 |
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18 | 18 | | Highlighted Provisions: |
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19 | 19 | | 8 |
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20 | 20 | | This bill: |
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21 | 21 | | 9 |
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22 | 22 | | ▸ requires the Division of Finance to annually transfer a certain amount of state liquor sale |
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23 | 23 | | 10 |
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24 | 24 | | revenues from the Liquor Control Fund to the Olene Walker Housing Loan Fund (fund); |
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25 | 25 | | 11 |
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26 | 26 | | ▸ requires the executive director of the Department of Workforce Services to distribute the |
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27 | 27 | | 12 |
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28 | 28 | | transferred portion of the fund for certain purposes; and |
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29 | 29 | | 13 |
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30 | 30 | | ▸ makes technical and conforming changes. |
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31 | 31 | | 14 |
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32 | 32 | | Money Appropriated in this Bill: |
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33 | 33 | | 15 |
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34 | 34 | | None |
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35 | 35 | | 16 |
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36 | 36 | | Other Special Clauses: |
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37 | 37 | | 17 |
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38 | 38 | | This bill provides a special effective date. |
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39 | 39 | | 18 |
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40 | 40 | | Utah Code Sections Affected: |
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41 | 41 | | 19 |
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42 | 42 | | AMENDS: |
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43 | 43 | | 20 |
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44 | 44 | | 32B-2-301, as last amended by Laws of Utah 2022, Chapter 447 |
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45 | 45 | | 21 |
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46 | 46 | | 35A-8-502, as renumbered and amended by Laws of Utah 2012, Chapter 212 |
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47 | 47 | | 22 |
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48 | 48 | | 35A-8-504, as last amended by Laws of Utah 2024, Chapter 413 |
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49 | 49 | | 23 |
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50 | 50 | | |
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51 | 51 | | 24 |
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52 | 52 | | Be it enacted by the Legislature of the state of Utah: |
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53 | 53 | | 25 |
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54 | 54 | | Section 1. Section 32B-2-301 is amended to read: |
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55 | 55 | | 26 |
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56 | 56 | | 32B-2-301 . State property -- Liquor Control Fund -- Money to be retained by |
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57 | 57 | | 27 |
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58 | 58 | | department -- Department building process. |
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59 | 59 | | 28 |
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60 | 60 | | (1) As used in this section, "base budget" means the same as that term is defined in |
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61 | 61 | | 29 |
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62 | 62 | | legislative rule. |
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63 | 63 | | 30 |
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64 | 64 | | (2) The following are property of the state: |
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65 | 65 | | 31 |
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66 | 66 | | (a) the money received in the administration of this title, except as otherwise provided; H.B. 286 01-21 09:00 |
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67 | 67 | | 32 |
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68 | 68 | | and |
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69 | 69 | | 33 |
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70 | 70 | | (b) property acquired, administered, possessed, or received by the department. |
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71 | 71 | | 34 |
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72 | 72 | | (3)(a) There is created an enterprise fund known as the "Liquor Control Fund." |
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73 | 73 | | 35 |
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74 | 74 | | (b) Except as provided in Sections 32B-2-304, 32B-2-305, and 32B-2-306, the |
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75 | 75 | | 36 |
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76 | 76 | | department shall deposit the following into the Liquor Control Fund: |
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77 | 77 | | 37 |
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78 | 78 | | (i) money received in the administration of this title; and |
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79 | 79 | | 38 |
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80 | 80 | | (ii) money received from the markup described in Section 32B-2-304. |
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81 | 81 | | 39 |
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82 | 82 | | (c) The department may draw from the Liquor Control Fund only to the extent |
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83 | 83 | | 40 |
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84 | 84 | | appropriated by the Legislature or provided by statute. |
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85 | 85 | | 41 |
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86 | 86 | | (d) The net position of the Liquor Control Fund may not fall below zero. |
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87 | 87 | | 42 |
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88 | 88 | | (4)(a) Notwithstanding Subsection (3)(c), the department may draw by warrant from the |
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89 | 89 | | 43 |
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90 | 90 | | Liquor Control Fund without an appropriation for an expenditure that is directly |
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91 | 91 | | 44 |
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92 | 92 | | incurred by the department: |
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93 | 93 | | 45 |
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94 | 94 | | (i) to purchase an alcoholic product; |
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95 | 95 | | 46 |
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96 | 96 | | (ii) to transport an alcoholic product from the supplier to a warehouse of the |
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97 | 97 | | 47 |
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98 | 98 | | department; or |
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99 | 99 | | 48 |
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100 | 100 | | (iii) for variances related to an alcoholic product, including breakage or theft. |
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101 | 101 | | 49 |
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102 | 102 | | (b) If the balance of the Liquor Control Fund is not adequate to cover a warrant that the |
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103 | 103 | | 50 |
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104 | 104 | | department draws against the Liquor Control Fund, to the extent necessary to cover |
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105 | 105 | | 51 |
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106 | 106 | | the warrant, the cash resources of the General Fund may be used. |
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107 | 107 | | 52 |
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108 | 108 | | (5) The department's base budget shall include as an appropriation from the Liquor Control |
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109 | 109 | | 53 |
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110 | 110 | | Fund: |
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111 | 111 | | 54 |
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112 | 112 | | (a) credit card related fees paid by the department; |
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113 | 113 | | 55 |
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114 | 114 | | (b) package agency compensation; |
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115 | 115 | | 56 |
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116 | 116 | | (c) the department's costs of shipping and warehousing alcoholic products; and |
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117 | 117 | | 57 |
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118 | 118 | | (d) the amount needed, as the Division of Human Resource Management determines, to |
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119 | 119 | | 58 |
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120 | 120 | | make the median department salary in the previous fiscal year equal the median |
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121 | 121 | | 59 |
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122 | 122 | | market salary in the previous fiscal year for the following positions: |
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123 | 123 | | 60 |
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124 | 124 | | (i) state store manager or equivalent; |
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125 | 125 | | 61 |
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126 | 126 | | (ii) state store assistant manager or equivalent; |
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127 | 127 | | 62 |
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128 | 128 | | (iii) full-time sales clerk at a state store or equivalent; |
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129 | 129 | | 63 |
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130 | 130 | | (iv) part-time sales clerk at a state store or equivalent; |
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131 | 131 | | 64 |
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132 | 132 | | (v) department warehouse manager or equivalent; |
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133 | 133 | | 65 |
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134 | 134 | | (vi) department warehouse assistant manager or equivalent; |
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135 | 135 | | - 2 - 01-21 09:00 H.B. 286 |
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136 | 136 | | 66 |
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137 | 137 | | (vii) full-time department warehouse worker or equivalent; and |
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138 | 138 | | 67 |
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139 | 139 | | (viii) part-time department warehouse worker or equivalent. |
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140 | 140 | | 68 |
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141 | 141 | | (6)(a) [The ] Except as provided in Subsections (8) and (9), the Division of Finance shall |
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142 | 142 | | 69 |
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143 | 143 | | transfer annually from the Liquor Control Fund to the General Fund a sum equal to |
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144 | 144 | | 70 |
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145 | 145 | | the amount of net profit earned from the sale of liquor since the preceding transfer of |
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146 | 146 | | 71 |
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147 | 147 | | money under this Subsection (6). |
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148 | 148 | | 72 |
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149 | 149 | | (b) After each fiscal year, the Division of Finance shall calculate the amount for the |
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150 | 150 | | 73 |
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151 | 151 | | transfer on or before September 1 and the Division of Finance shall make the transfer |
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152 | 152 | | 74 |
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153 | 153 | | on or before September 30. |
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154 | 154 | | 75 |
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155 | 155 | | (c) The Division of Finance may make year-end closing entries in the Liquor Control |
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156 | 156 | | 76 |
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157 | 157 | | Fund to comply with Subsection 51-5-6(2). |
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158 | 158 | | 77 |
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159 | 159 | | (7)(a) By the end of each day, the department shall: |
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160 | 160 | | 78 |
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161 | 161 | | (i) make a deposit to a qualified depository, as defined in Section 51-7-3; and |
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162 | 162 | | 79 |
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163 | 163 | | (ii) report the deposit to the state treasurer. |
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164 | 164 | | 80 |
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165 | 165 | | (b) A commissioner or department employee is not personally liable for a loss caused by |
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166 | 166 | | 81 |
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167 | 167 | | the default or failure of a qualified depository. |
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168 | 168 | | 82 |
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169 | 169 | | (c) Money deposited in a qualified depository is entitled to the same priority of payment |
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170 | 170 | | 83 |
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171 | 171 | | as other public funds of the state. |
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172 | 172 | | 84 |
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173 | 173 | | (8) Before the Division of Finance makes the transfer described in Subsection (6), the |
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174 | 174 | | 85 |
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175 | 175 | | department may retain each fiscal year from the Liquor Control Fund $1,000,000 that |
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176 | 176 | | 86 |
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177 | 177 | | the department may use for: |
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178 | 178 | | 87 |
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179 | 179 | | (a) capital equipment purchases; |
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180 | 180 | | 88 |
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181 | 181 | | (b) salary increases for department employees; |
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182 | 182 | | 89 |
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183 | 183 | | (c) performance awards for department employees; or |
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184 | 184 | | 90 |
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185 | 185 | | (d) information technology enhancements because of changes or trends in technology. |
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186 | 186 | | 91 |
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187 | 187 | | (9) Before the Division of Finance makes the transfer described in Subsection (6), the |
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188 | 188 | | 92 |
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189 | 189 | | Division of Finance shall transfer annually from the Liquor Control Fund to the Olene |
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190 | 190 | | 93 |
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191 | 191 | | Walker Housing Loan Fund created in Section 35A-8-502 an amount equal to 25% of |
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192 | 192 | | 94 |
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193 | 193 | | the net sales tax profits earned on the sale of liquor since the preceding transfer of |
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194 | 194 | | 95 |
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195 | 195 | | money under Subsection (6). |
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196 | 196 | | 96 |
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197 | 197 | | Section 2. Section 35A-8-502 is amended to read: |
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198 | 198 | | 97 |
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199 | 199 | | 35A-8-502 . Creation and administration. |
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200 | 200 | | 98 |
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201 | 201 | | (1)(a) There is created an enterprise fund known as the Olene Walker Housing Loan |
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202 | 202 | | 99 |
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203 | 203 | | Fund, administered by the executive director or the executive director's designee. |
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204 | 204 | | - 3 - H.B. 286 01-21 09:00 |
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205 | 205 | | 100 |
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206 | 206 | | (b) The department is the administrator of the fund. |
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207 | 207 | | 101 |
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208 | 208 | | (2) There shall be deposited into the fund: |
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209 | 209 | | 102 |
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210 | 210 | | (a) grants, paybacks, bonuses, entitlements, and other money received by the department |
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211 | 211 | | 103 |
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212 | 212 | | from the federal government to preserve, rehabilitate, build, restore, or renew housing |
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213 | 213 | | 104 |
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214 | 214 | | or for other activities authorized by the fund; |
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215 | 215 | | 105 |
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216 | 216 | | (b) money transferred from the Liquor Control Fund to the fund by the Division of |
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217 | 217 | | 106 |
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218 | 218 | | Finance in accordance with Section 32B-2-301; |
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219 | 219 | | 107 |
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220 | 220 | | [(b)] (c) transfers, grants, gifts, bequests, and money made available from any source to |
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221 | 221 | | 108 |
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222 | 222 | | implement this part; and |
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223 | 223 | | 109 |
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224 | 224 | | [(c)] (d) money appropriated to the fund by the Legislature. |
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225 | 225 | | 110 |
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226 | 226 | | (3) The money in the fund shall be invested by the state treasurer according to the |
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227 | 227 | | 111 |
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228 | 228 | | procedures and requirements of Title 51, Chapter 7, State Money Management Act, |
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229 | 229 | | 112 |
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230 | 230 | | except that all interest or other earnings derived from money in the fund shall be |
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231 | 231 | | 113 |
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232 | 232 | | deposited in the fund. |
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233 | 233 | | 114 |
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234 | 234 | | Section 3. Section 35A-8-504 is amended to read: |
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235 | 235 | | 115 |
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236 | 236 | | 35A-8-504 . Distribution of fund money. |
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237 | 237 | | 116 |
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238 | 238 | | (1) As used in this section: |
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239 | 239 | | 117 |
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240 | 240 | | (a) "Community" means the same as that term is defined in Section 17C-1-102. |
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241 | 241 | | 118 |
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242 | 242 | | (b) "Income targeted housing" means the same as that term is defined in Section |
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243 | 243 | | 119 |
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244 | 244 | | 17C-1-102. |
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245 | 245 | | 120 |
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246 | 246 | | (2) The executive director shall: |
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247 | 247 | | 121 |
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248 | 248 | | (a) make grants and loans from the fund for any of the activities authorized by Section |
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249 | 249 | | 122 |
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250 | 250 | | 35A-8-505, as directed by the board; |
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251 | 251 | | 123 |
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252 | 252 | | (b) establish the criteria with the approval of the board by which loans and grants will be |
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253 | 253 | | 124 |
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254 | 254 | | made; and |
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255 | 255 | | 125 |
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256 | 256 | | (c) determine with the approval of the board the order in which projects will be funded. |
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257 | 257 | | 126 |
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258 | 258 | | (3) The executive director shall distribute, as directed by the board, any federal money |
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259 | 259 | | 127 |
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260 | 260 | | contained in the fund according to the procedures, conditions, and restrictions placed |
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261 | 261 | | 128 |
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262 | 262 | | upon the use of the money by the federal government. |
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263 | 263 | | 129 |
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264 | 264 | | (4) The executive director shall distribute, as directed by the board, any funds received |
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265 | 265 | | 130 |
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266 | 266 | | under Section 17C-1-412 to pay the costs of providing income targeted housing within |
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267 | 267 | | 131 |
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268 | 268 | | the community that created the community reinvestment agency under Title 17C, |
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269 | 269 | | 132 |
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270 | 270 | | Limited Purpose Local Government Entities - Community Reinvestment Agency Act. |
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271 | 271 | | 133 |
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272 | 272 | | (5)(a) Except for federal money, money transferred into the fund under Section |
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273 | 273 | | - 4 - 01-21 09:00 H.B. 286 |
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274 | 274 | | 134 |
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275 | 275 | | 35A-8-502 as provided in Subsection (5)(b), money received under Section |
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276 | 276 | | 135 |
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277 | 277 | | 17C-1-412, and money appropriated for use in accordance with Section 35A-8-2105, |
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278 | 278 | | 136 |
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279 | 279 | | the executive director shall distribute, as directed by the board, money in the fund |
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280 | 280 | | 137 |
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281 | 281 | | according to the following requirements: |
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282 | 282 | | 138 |
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283 | 283 | | [(a)] (i) the executive director shall distribute at least 70% of the money in the fund to |
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284 | 284 | | 139 |
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285 | 285 | | benefit [persons] individuals whose annual income is at or below 50% of the |
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286 | 286 | | 140 |
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287 | 287 | | median family income for the state; |
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288 | 288 | | 141 |
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289 | 289 | | [(b)] (ii) the executive director may use up to 6% of the revenues of the fund, |
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290 | 290 | | 142 |
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291 | 291 | | including any appropriation to the fund, to offset department or board |
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292 | 292 | | 143 |
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293 | 293 | | administrative expenses; |
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294 | 294 | | 144 |
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295 | 295 | | [(c)] (iii) the executive director shall distribute any remaining money in the fund to |
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296 | 296 | | 145 |
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297 | 297 | | benefit [persons] individuals whose annual income is at or below 80% of the |
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298 | 298 | | 146 |
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299 | 299 | | median family income for the state; and |
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300 | 300 | | 147 |
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301 | 301 | | [(d)] (iv) if the executive director or the executive director's designee makes a loan in |
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302 | 302 | | 148 |
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303 | 303 | | accordance with this section, the interest rate of the loan shall be based on the |
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304 | 304 | | 149 |
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305 | 305 | | borrower's ability to pay. |
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306 | 306 | | 150 |
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307 | 307 | | (b) For money transferred into the fund under Section 32B-2-301, the executive director, |
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308 | 308 | | 151 |
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309 | 309 | | as directed by the board, shall distribute the percentage of transferred funds as |
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310 | 310 | | 152 |
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311 | 311 | | follows: |
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312 | 312 | | 153 |
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313 | 313 | | (i) 40% of the money transferred into the fund to benefit individuals purchasing |
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314 | 314 | | 154 |
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315 | 315 | | single-family, owner-occupied affordable housing that is: |
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316 | 316 | | 155 |
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317 | 317 | | (A) restricted to households whose income is no less than 30% and no more than |
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318 | 318 | | 156 |
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319 | 319 | | 60% of the area median income; and |
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320 | 320 | | 157 |
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321 | 321 | | (B) deed restricted for no less than 10 years to ensure the property remains |
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322 | 322 | | 158 |
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323 | 323 | | owner-occupied and affordable to households as described in Subsection |
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324 | 324 | | 159 |
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325 | 325 | | (5)(b)(i)(A); and |
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326 | 326 | | 160 |
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327 | 327 | | (ii) 60% of the money transferred into the fund to benefit persons purchasing, |
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328 | 328 | | 161 |
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329 | 329 | | developing, or rehabilitating multi-family affordable housing that is: |
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330 | 330 | | 162 |
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331 | 331 | | (A) restricted to households whose income is no more than 40% of the area |
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332 | 332 | | 163 |
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333 | 333 | | median income; and |
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334 | 334 | | 164 |
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335 | 335 | | (B) deed restricted for no less than 50 years to ensure the property remains |
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336 | 336 | | 165 |
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337 | 337 | | affordable to households as described in Subsection (5)(b)(ii)(A). |
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338 | 338 | | 166 |
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339 | 339 | | (6) The executive director may, with the approval of the board: |
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340 | 340 | | 167 |
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341 | 341 | | (a) enact rules to establish procedures for the grant and loan process by following the |
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342 | 342 | | - 5 - H.B. 286 01-21 09:00 |
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343 | 343 | | 168 |
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344 | 344 | | procedures and requirements of Title 63G, Chapter 3, Utah Administrative |
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345 | 345 | | 169 |
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346 | 346 | | Rulemaking Act; and |
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347 | 347 | | 170 |
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348 | 348 | | (b) service or contract, under Title 63G, Chapter 6a, Utah Procurement Code, for the |
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349 | 349 | | 171 |
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350 | 350 | | servicing of loans made by the fund. |
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351 | 351 | | 172 |
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352 | 352 | | Section 4. Effective Date. |
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353 | 353 | | 173 |
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354 | 354 | | This bill takes effect on July 1, 2025. |
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355 | 355 | | - 6 - |
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