Utah 2025 Regular Session

Utah House Bill HB0464 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	Enrolled Copy H.B. 464
	1	+	02-27 12:10 1st Sub. (Buff) H.B. 464
	2	+	Joseph Elison proposes the following substitute bill:
2	3		1
3	4		State Sovereignty Fund
4	5		2025 GENERAL SESSION
5	6		STATE OF UTAH
6	7		Chief Sponsor: Joseph Elison
7	8		Senate Sponsor: Chris H. Wilson
8		-
9		-	Cosponsor: Stephanie Gricius Jefferson Moss
10		-
11		-	Nelson T. Abbott Matthew H. Gwynn Hoang Nguyen
12		-
13		-	Cheryl K. Acton Katy Hall Clinton D. Okerlund
14		-
15		-	Carl R. Albrecht Jon Hawkins Doug Owens
16		-
17		-	Tiara Auxier Sahara Hayes Nicholeen P. Peck
18		-
19		-	Melissa G. Ballard Sandra Hollins Michael J. Petersen
20		-
21		-	Stewart E. Barlow Ken Ivory Thomas W. Peterson
22		-
23		-	Bridger Bolinder Colin W. Jack Calvin Roberts
24		-
25		-	Walt Brooks Jill Koford Angela Romero
26		-
27		-	Jefferson S. Burton Michael L. Kohler Jake Sawyer
28		-
29		-	Kristen Chevrier Jason B. Kyle Mike Schultz
30		-
31		-	Kay J. Christofferson Trevor Lee Troy Shelley
32		-
33		-	Tyler Clancy Karianne Lisonbee Lisa Shepherd
34		-
35		-	Paul A. Cutler Anthony E. Loubet Rex P. Shipp
36		-
37		-	Jennifer Dailey-Provost Matt MacPherson Andrew Stoddard
38		-
39		-	Ariel Defay A. Cory Maloy Mark A. Strong
40		-
41		-	Rosalba Dominguez Ashlee Matthews Jordan D. Teuscher
42		-
43		-	James A. Dunnigan Verona Mauga Jason E. Thompson
44		-
45		-	Steve Eliason Tracy J. Miller R. Neil Walter H.B. 464 Enrolled Copy
46		-
47		-	Doug Fiefia Grant Amjad Miller Stephen L. Whyte
48		-
49		-	Jake Fitisemanu Logan J. Monson Ryan D. Wilcox
50	9		2
51	10
52	11		3
53	12		LONG TITLE
54	13		4
55	14		General Description:
56	15		5
57	16		This bill creates the State Sovereignty Fund.
58	17		6
59	18		Highlighted Provisions:
60	19		7
61	20		This bill:
62	21		8
63	22		▸ defines terms;
64	23		9
65	24		▸ establishes the State Sovereignty Fund;
66	25		10
67	26		▸ provides for the funding, investment, and distribution of the State Sovereignty Fund; and
68	27		11
69	28		▸ makes technical and conforming changes.
70	29		12
71	30		Money Appropriated in this Bill:
72	31		13
73	32		None
74	33		14
75	34		Other Special Clauses:
76	35		15
77	36		None
78	37		16
79	38		Utah Code Sections Affected:
80	39		17
81	40		AMENDS:
82	41		18
83	42		51-7-2, as last amended by Laws of Utah 2024, Chapters 418, 492 and 510
84	43		19
85	44		63J-1-312, as last amended by Laws of Utah 2022, Chapter 456
86	45		20
87	46		63J-1-313, as last amended by Laws of Utah 2022, Chapter 456
88	47		21
89	48		ENACTS:
90	49		22
91	50		51-13-101, Utah Code Annotated 1953
92	51		23
93	52		51-13-201, Utah Code Annotated 1953
94	53		24
95	54		51-13-202, Utah Code Annotated 1953
96	55		25
97	56
98	57		26
99	58		Be it enacted by the Legislature of the state of Utah:
100	59		27
101	60		Section 1. Section 51-7-2 is amended to read:
102	61		28
103	62		51-7-2 . Exemptions from chapter.
	63	+	1st Sub. H.B. 464 1st Sub. (Buff) H.B. 464 02-27 12:10
104	64		29
105	65		(1) Except as provided in Subsection (2), the following funds are exempt from this chapter:
106	66		30
107	67		(a) funds invested in accordance with the participating employees' designation or
108	68		31
109	69		direction pursuant to a public employees' deferred compensation plan established and
110	70		32
111	71		operated in compliance with Section 457 of the Internal Revenue Code of 1986, as
112		-	- 2 - Enrolled Copy H.B. 464
113	72		33
114	73		amended;
115	74		34
116	75		(b) funds of the Utah State Retirement Board;
117	76		35
118	77		(c) funds of the Utah Housing Corporation;
119	78		36
120	79		(d) endowment funds of higher education institutions, including funds of the Higher
121	80		37
122	81		Education Student Success Endowment, created in Section 53B-7-802;
123	82		38
124	83		(e) permanent and other land grant trust funds established pursuant to the Utah Enabling
125	84		39
126	85		Act and the Utah Constitution;
127	86		40
128	87		(f) the State Post-Retirement Benefits Trust Fund;
129	88		41
130	89		(g) the funds of the Utah Educational Savings Plan;
131	90		42 (h) funds of the permanent state trust fund created by and operated under Utah
132	91		43
133	92		Constitution, Article XXII, Section 4;
134	93		44
135	94		(i) the funds in the Navajo Trust Fund;
136	95		45
137	96		(j) the funds in the Radioactive Waste Perpetual Care and Maintenance Account;
138	97		46
139	98		(k) the funds in the Employers' Reinsurance Fund;
140	99		47
141	100		(l) the funds in the Uninsured Employers' Fund;
142	101		48
143	102		(m) the Utah State Developmental Center Long-Term Sustainability Fund, created in
144	103		49
145	104		Section 26B-1-331;
146	105		50
147	106		(n) the funds in the Risk Management Fund created in Section 63A-4-201;
148	107		51
149	108		(o) the Utah fund of funds created in Section 63N-6-401;
150	109		52
151	110		(p) the funds deposited into the Utah Homes Investment Program from the
152	111		53
153	112		Transportation Infrastructure General Fund Support Subfund created in Section
154	113		54
155	114		72-2-134;[ and]
156	115		55
157	116		(q) subject to Subsection 67-4-19(2), the portion of the funds in the following accounts
158	117		56
159	118		invested by the state treasurer in precious metals:
160	119		57
161	120		(i) the State Disaster Recovery Restricted Account, created in Section 53-2a-603;
162	121		58
163	122		(ii) the General Fund Budget Reserve Account, created in Section 63J-1-312;
164	123		59
165	124		(iii) the Income Tax Fund Budget Reserve Account, created in Section 63J-1-313; and
166	125		60
167	126		(iv) the Medicaid Growth Reduction and Budget Stabilization Account, created in
168	127		61
169	128		Section [63J-1-315.] 63J-1-315; and
170	129		62
171	130		(r) the State Sovereignty Fund created in Section 51-13-201.
	131	+	- 2 - 02-27 12:10 1st Sub. (Buff) H.B. 464
172	132		63
173	133		(2) Except for the funds of the Utah State Retirement Board and the Utah Educational
174	134		64
175	135		Savings Plan, the funds described in Subsection (1) are not exempt from Subsections
176	136		65
177	137		51-7-14(2) and (3).
178	138		66
179	139		(3) Notwithstanding Title 52, Chapter 4, Open and Public Meetings Act, a public body that
180		-	- 3 - H.B. 464 Enrolled Copy
181	140		67
182	141		administers a fund described in Subsection (1) may hold a closed meeting to discuss the
183	142		68
184	143		sale or purchase of identifiable securities, investment funds, or investment contracts.
185	144		69
186	145		(4) A paper, electronic, or other depiction or record of information relating to investment
187	146		70
188	147		activities of a fund described in Subsection (1) is not subject to Title 63G, Chapter 2,
189	148		71
190	149		Government Records Access and Management Act.
191	150		72
192	151		Section 2. Section 51-13-101 is enacted to read:
193	152		73
194	153
195	154		CHAPTER 13. STATE SOVEREIGNTY FUND
196	155		74
197	156
198	157		Part 1. General Provisions
199	158		75
200	159		51-13-101 . Definitions.
201	160		76
202	161		As used in this chapter:
203	162		77
204	163		(1) "Division" means the Division of Finance created in Section 63A-3-101.
205	164		78
206	165		(2) "Excess revenue collections" means any amount of General Fund or Income Tax Fund
207	166		79
208	167		revenue that, in any fiscal year, exceeds the estimated revenue for that fiscal year last
209	168		80
210	169		adopted by the Executive Appropriations Committee by more than two standard
211	170		81
212	171		deviations on a 20-year mean.
213	172		82
214	173		(3) "Fund" means the State Sovereignty Fund created in Section 51-13-201.
215	174		83
216	175		(4) "General Fund Budget Reserve Account" means the General Fund Budget Reserve
217	176		84
218	177		Account created in Section 63J-1-312.
219	178		85
220	179		(5) "Income Tax Fund Budget Reserve Account" means the Income Tax Fund Budget
221	180		86
222	181		Reserve Account created in Section 63J-1-313.
223	182		87
224	183		(6)(a) "Principal" means money deposited into the State Sovereignty Fund in accordance
225	184		88
226	185		with Section 51-13-201.
227	186		89
228	187		(b) "Principal" does not include earnings like interest, dividends, or asset appreciation
229	188		90
230	189		credited to the State Sovereignty Fund.
231	190		91
232	191		(7) "Reserve account surplus" means an amount described in Subsection 63J-1-312(3)(a)(ii)
233	192		92
234	193		(B) or 63J-1-313(3)(a)(ii)(B).
235	194		93
236	195		Section 3. Section 51-13-201 is enacted to read:
237	196		94
238	197
239	198		Part 2. Establishment of State Sovereignty Fund
240	199		95
241	200		51-13-201 . State Sovereignty Fund -- Creation -- Distribution.
	201	+	- 3 - 1st Sub. (Buff) H.B. 464 02-27 12:10
242	202		96
243	203		(1) There is created the State Sovereignty Fund which consists of:
244	204		97
245	205		(a) any reserve account surplus;
246	206		98
247	207		(b) one-half of any General Fund savings from a decrease in the Federal Medical
248	208		99
249	209		Assistance Percentages;
250		-	- 4 - Enrolled Copy H.B. 464
251	210		100
252	211		(c) if the federal government offers an enhanced Federal Medical Assistance Percentage,
253	212		101
254		-	12.5% of the resulting state fund savings;
	213	+	Ĥ→ [25%] 12.5% ←Ĥ of the resulting state fund savings;
255	214		102
256	215		(d) any excess revenue collections;
257	216		103
258	217		(e) interest, dividends, or other earnings attributable to the fund; and
259	218		104
260	219		(f) additional money appropriated by the Legislature.
261	220		105
262	221		(2)(a) The division shall deposit into the fund any amounts described in Subsections (1)
263	222		106
264	223		(a) through (f).
265	224		107
266	225		(b) The Governor's Office of Planning and Budget, in consultation with the legislative
267	226		108
268	227		fiscal analyst, shall annually report to the Division of Finance the amounts described
269	228		109
270	229		in Subsections (1)(b), (c), and (d).
271	230		110
272	231		(3) The division shall separately track principal deposits into the fund from the General
273	232		111
274	233		Fund and Income Tax Fund, including earnings on the deposits.
275	234		112
276	235		(4) In accordance with Section 51-13-202, the state treasurer shall invest the money in the
277	236		113
278	237		fund for the benefit of the people of the state in perpetuity.
279	238		114
280	239		(5) The Legislature may not appropriate money from the fund before fiscal year 2075-76.
281	240		115
282	241		(6)(a) Beginning fiscal year 2075-76, the Legislature may appropriate up to 50% of the
283	242		116
284	243		annual earnings from the investment of the fund to offset reduced federal funding or
285	244		117
286	245		to provide state tax relief.
287	246		118
288	247		(b) After any appropriations under Subsection (6)(a), the division shall deposit any
289	248		119
290	249		remaining earnings into the fund for investment.
291	250		120
292	251		(7) The Legislature may appropriate principal from the fund only:
293	252		121
294	253		(a) by affirmative vote of two-thirds of all members elected of each chamber of the
295	254		122
296	255		Legislature; and
297	256		123
298	257		(b) for the purpose of offsetting reduced federal funding or providing state tax relief.
299	258		124
300	259		Section 4. Section 51-13-202 is enacted to read:
301	260		125
302	261		51-13-202 . State Sovereignty Fund -- Investment -- Administrative costs.
303	262		126
304	263		(1) The state treasurer shall:
305	264		127
306	265		(a) invest money in the fund with the following goals, in order of priority:
307	266		128
308	267		(i) providing for growth of the principal; and
309	268		129
310	269		(ii) fund stability;
	270	+	- 4 - 02-27 12:10 1st Sub. (Buff) H.B. 464
311	271		130
312	272		(b) invest and manage fund assets as a prudent investor would by:
313	273		131
314	274		(i) considering the purpose, terms, distribution requirements, and other circumstances
315	275		132
316	276		of the fund; and
317	277		133
318	278		(ii) exercising reasonable care, skill, and caution in order to meet the standard of care
319		-	- 5 - H.B. 464 Enrolled Copy
320	279		134
321	280		of a prudent investor; and
322	281		135
323	282		(c) deposit into the fund the interest, dividends, or other earnings attributable to the fund.
324	283		136
325	284		(2) The state treasurer may deduct any administrative costs incurred by managing the fund
326	285		137
327	286		from earnings generated by investments in the fund.
328	287		138
329	288		Section 5. Section 63J-1-312 is amended to read:
330	289		139
331	290		63J-1-312 . Establishing a General Fund Budget Reserve Account -- Providing
332	291		140
333	292		for deposits and expenditures from the account -- Providing for interest generated by the
334	293		141
335	294		account.
336	295		142
337	296		(1) As used in this section:
338	297		143
339	298		(a) " Income Tax Fund budget deficit" means a situation where appropriations made by
340	299		144
341	300		the Legislature from the Income Tax Fund for a fiscal year exceed the estimated
342	301		145
343	302		revenues adopted by the Executive Appropriations Committee of the Legislature for
344	303		146
345	304		the Income Tax Fund in that fiscal year.
346	305		147
347	306		(b) "General Fund appropriations" means the sum of the spending authority for a fiscal
348	307		148
349	308		year that is:
350	309		149
351	310		(i) granted by the Legislature in all appropriation acts and bills; and
352	311		150
353	312		(ii) identified as coming from the General Fund.
354	313		151
355	314		(c) "General Fund budget deficit" means a situation where General Fund appropriations
356	315		152
357	316		made by the Legislature for a fiscal year exceed the estimated revenues adopted by
358	317		153
359	318		the Executive Appropriations Committee of the Legislature for the General Fund in
360	319		154
361	320		that fiscal year.
362	321		155
363	322		(d) "General Fund revenue surplus" means a situation where actual General Fund
364	323		156
365	324		revenues collected in a completed fiscal year exceed the estimated revenues for the
366	325		157
367	326		General Fund for that fiscal year that were adopted by the Executive Appropriations
368	327		158
369	328		Committee of the Legislature.
370	329		159
371	330		(e) "Operating deficit" means that, at the end of the fiscal year, the unassigned fund
372	331		160
373	332		balance in the General Fund is less than zero.
374	333		161
375	334		(2) There is created within the General Fund a restricted account to be known as the
376	335		162
377	336		General Fund Budget Reserve Account, which is designated to receive the legislative
378	337		163
379	338		appropriations and the surplus revenue required to be deposited into the account by this
	339	+	- 5 - 1st Sub. (Buff) H.B. 464 02-27 12:10
380	340		164
381	341		section.
382	342		165
383	343		(3)(a)(i) Except as provided in Subsection (3)(a)(ii), at the end of any fiscal year in
384	344		166
385	345		which the Division of Finance, in consultation with the [Legislative Fiscal Analyst]
386	346		167
387	347		legislative fiscal analyst and in conjunction with the completion of the annual
388		-	- 6 - Enrolled Copy H.B. 464
389	348		168
390	349		audit by the state auditor, determines that there is a General Fund revenue surplus,
391	350		169
392	351		the Division of Finance shall transfer 25% of the General Fund revenue surplus to
393	352		170
394	353		the General Fund Budget Reserve Account.
395	354		171
396	355		(ii) If the transfer of 25% of the General Fund revenue surplus to the General Fund
397	356		172
398	357		Budget Reserve Account would cause the balance in the account to exceed 9% of
399	358		173
400	359		General Fund appropriations for the fiscal year in which the revenue surplus
401	360		174
402	361		occurred, the Division of Finance shall:
403	362		175
404	363		(A) transfer to the General Fund Budget Reserve Account only those funds
405	364		176
406	365		necessary to ensure that the balance in the account equals 9% of General Fund
407	366		177
408	367		appropriations for the fiscal year in which the General Fund revenue surplus
409	368		178
410	369		occurred[.] ; and
411	370		179
412	371		(B) transfer to the State Sovereignty Fund created in Section 51-13-201 the
413	372		180
414	373		remaining amount of the 25% of the General Fund revenue surplus described
415	374		181
416	375		in Subsection (3)(a)(i).
417	376		182
418	377		(iii) The Division of Finance shall calculate the amount to be transferred under this
419	378		183
420	379		Subsection (3)(a):
421	380		184
422	381		(A) after making the transfer of General Fund revenue surplus to the Medicaid
423	382		185
424	383		Growth Reduction and Budget Stabilization Account, as provided in Section
425	384		186
426	385		63J-1-315;
427	386		187
428	387		(B) before transferring from the General Fund revenue surplus any other year-end
429	388		188
430	389		contingency appropriations, year-end set-asides, or other year-end transfers
431	390		189
432	391		required by law; and
433	392		190
434	393		(C) excluding any direct legislative appropriation made to the General Fund
435	394		191
436	395		Budget Reserve Account for the fiscal year.
437	396		192
438	397		(b)(i) Except as provided in Subsection (3)(b)(ii), in addition to Subsection (3)(a)(i),
439	398		193
440	399		if a General Fund revenue surplus exists and if, within the last 10 years, the
441	400		194
442	401		Legislature has appropriated any money from the General Fund Budget Reserve
443	402		195
444	403		Account that has not been replaced by appropriation or as provided in this
445	404		196
446	405		Subsection (3)(b), the Division of Finance shall transfer up to 25% more of the
447	406		197
448	407		General Fund revenue surplus to the General Fund Budget Reserve Account to
	408	+	- 6 - 02-27 12:10 1st Sub. (Buff) H.B. 464
449	409		198
450	410		replace the amounts appropriated, until direct legislative appropriations, if any,
451	411		199
452	412		and transfers from the General Fund revenue surplus under this Subsection (3)(b)
453	413		200
454	414		have replaced the appropriations from the account.
455	415		201
456	416		(ii) If the transfer under Subsection (3)(b)(i) would cause the balance in the account
457		-	- 7 - H.B. 464 Enrolled Copy
458	417		202
459	418		to exceed 9% of General Fund appropriations for the fiscal year in which the
460	419		203
461	420		revenue surplus occurred, the Division of Finance shall transfer only those funds
462	421		204
463	422		necessary to ensure that the balance in the account equals 9% of General Fund
464	423		205
465	424		appropriations for the fiscal year in which the revenue surplus occurred.
466	425		206
467	426		(iii) The Division of Finance shall calculate the amount to be transferred under this
468	427		207
469	428		Subsection (3)(b):
470	429		208
471	430		(A) after making the transfer of General Fund revenue surplus to the Medicaid
472	431		209
473	432		Growth Reduction and Budget Stabilization Account, as provided in Section
474	433		210
475	434		63J-1-315;
476	435		211
477	436		(B) before transferring from the General Fund revenue surplus any other year-end
478	437		212
479	438		contingency appropriations, year-end set-asides, or other year-end transfers
480	439		213
481	440		required by law; and
482	441		214
483	442		(C) excluding any direct legislative appropriation made to the General Fund
484	443		215
485	444		Budget Reserve Account for the fiscal year.
486	445		216
487	446		(c) For appropriations made by the Legislature to the General Fund Budget Reserve
488	447		217
489	448		Account, the Division of Finance shall treat those appropriations, unless otherwise
490	449		218
491	450		specified in the appropriation, as replacement funds for appropriations made from the
492	451		219
493	452		account if funds were appropriated from the General Fund Budget Reserve Account
494	453		220
495	454		within the past 10 years and have not yet been replaced.
496	455		221
497	456		(4) The Legislature may appropriate money from the General Fund Budget Reserve
498	457		222
499	458		Account only to:
500	459		223
501	460		(a) resolve a General Fund budget deficit, for the fiscal year in which the General Fund
502	461		224
503	462		budget deficit occurs;
504	463		225
505	464		(b) pay some or all of state settlement agreements approved under Title 63G, Chapter
506	465		226
507	466		10, State Settlement Agreements Act;
508	467		227
509	468		(c) pay claims approved under Section 63G-9-304;
510	469		228
511	470		(d) pay retroactive tax refunds;
512	471		229
513	472		(e) resolve an Income Tax Fund budget deficit; or
514	473		230
515	474		(f) finance an existing federally funded program or activity when:
516	475		231
517	476		(i) the federal funds expected to fund the federal program or activity are not available
	477	+	- 7 - 1st Sub. (Buff) H.B. 464 02-27 12:10
518	478		232
519	479		to fund the program or activity; and
520	480		233
521	481		(ii) the Legislature and governor concurrently determine that the program or activity
522	482		234
523	483		is essential.
524	484		235
525	485		(5) Interest generated from investments of money in the General Fund Budget Reserve
526		-	- 8 - Enrolled Copy H.B. 464
527	486		236
528	487		Account shall be deposited into the General Fund.
529	488		237
530	489		Section 6. Section 63J-1-313 is amended to read:
531	490		238
532	491		63J-1-313 . Establishing an Income Tax Fund Budget Reserve Account --
533	492		239
534	493		Providing for deposits and expenditures from the account -- Providing for interest
535	494		240
536	495		generated by the account.
537	496		241
538	497		(1) As used in this section:
539	498		242
540	499		(a) " Income Tax Fund appropriations" means the sum of the spending authority for a
541	500		243
542	501		fiscal year that is:
543	502		244
544	503		(i) granted by the Legislature in all appropriation acts and bills; and
545	504		245
546	505		(ii) identified as coming from the Income Tax Fund.
547	506		246
548	507		(b) " Income Tax Fund budget deficit" means a situation where appropriations made by
549	508		247
550	509		the Legislature from the Income Tax Fund for a fiscal year exceed the estimated
551	510		248
552	511		revenues adopted by the Executive Appropriations Committee of the Legislature for
553	512		249
554	513		the Income Tax Fund in that fiscal year.
555	514		250
556	515		(c) " Income Tax Fund revenue surplus" means a situation where actual Income Tax
557	516		251
558	517		Fund revenues collected in a completed fiscal year exceed the estimated revenues for
559	518		252
560	519		the Income Tax Fund in that fiscal year that were adopted by the Executive
561	520		253
562	521		Appropriations Committee of the Legislature.
563	522		254
564	523		(d) "Operating deficit" means that, at the end of the fiscal year, the unassigned fund
565	524		255
566	525		balance in the Income Tax Fund is less than zero.
567	526		256
568	527		(2) There is created within the Income Tax Fund a restricted account to be known as the
569	528		257
570	529		Income Tax Fund Budget Reserve Account, which is designated to receive the
571	530		258
572	531		legislative appropriations and the surplus revenue required to be deposited into the
573	532		259
574	533		account by this section.
575	534		260
576	535		(3)(a)(i) Except as provided in Subsection (3)(a)(ii), at the end of any fiscal year in
577	536		261
578	537		which the Division of Finance, in consultation with the [Legislative Fiscal Analyst]
579	538		262
580	539		legislative fiscal analyst and in conjunction with the completion of the annual
581	540		263
582	541		audit by the state auditor, determines that there is an Income Tax Fund revenue
583	542		264
584	543		surplus, the Division of Finance shall transfer 25% of the Income Tax Fund
585	544		265
586	545		revenue surplus to the Income Tax Fund Budget Reserve Account.
	546	+	- 8 - 02-27 12:10 1st Sub. (Buff) H.B. 464
587	547		266
588	548		(ii) If the transfer of 25% of the Income Tax Fund revenue surplus to the Income Tax
589	549		267
590	550		Fund Budget Reserve Account under Subsection (3)(a)(i) would cause the balance
591	551		268
592	552		in the account to exceed 11% of Income Tax Fund appropriations for the fiscal
593	553		269
594	554		year in which the Income Tax Fund revenue surplus occurred, the Division of
595		-	- 9 - H.B. 464 Enrolled Copy
596	555		270
597	556		Finance shall:
598	557		271
599	558		(A) transfer to the Income Tax Fund Budget Reserve Account only those funds
600	559		272
601	560		necessary to ensure that the balance in the account equals 11% of the Income
602	561		273
603	562		Tax Fund appropriations for the fiscal year in which the Income Tax Fund
604	563		274
605	564		revenue surplus occurred[.] ; and
606	565		275
607	566		(B) transfer to the State Sovereignty Fund created in Section 51-13-201 the
608	567		276
609	568		remaining amount of the 25% of the Income Tax Fund revenue surplus
610	569		277
611	570		described in Subsection (3)(a)(i).
612	571		278
613	572		(iii) The Division of Finance shall calculate the amount to be transferred under this
614	573		279
615	574		Subsection (3)(a):
616	575		280
617	576		(A) before transferring from the Income Tax Fund revenue surplus any other
618	577		281
619	578		year-end contingency appropriations, year-end set-asides, or other year-end
620	579		282
621	580		transfers required by law; and
622	581		283
623	582		(B) excluding any direct legislative appropriation made to the Income Tax Fund
624	583		284
625	584		Budget Reserve Account for the fiscal year.
626	585		285
627	586		(b)(i) Except as provided in Subsection (3)(b)(ii), in addition to Subsection (3)(a)(i),
628	587		286
629	588		if an Income Tax Fund revenue surplus exists and if, within the last 10 years, the
630	589		287
631	590		Legislature has appropriated any money from the Income Tax Fund Budget
632	591		288
633	592		Reserve Account that has not been replaced by appropriation or as provided in this
634	593		289
635	594		Subsection (3)(b), the Division of Finance shall transfer up to 25% more of the
636	595		290
637	596		Income Tax Fund revenue surplus to the Income Tax Fund Budget Reserve
638	597		291
639	598		Account to replace the amounts appropriated, until direct legislative
640	599		292
641	600		appropriations, if any, and transfers from the Income Tax Fund revenue surplus
642	601		293
643	602		under this Subsection (3)(b) have replaced the appropriations from the account.
644	603		294
645	604		(ii) If the transfer under Subsection (3)(b)(i) would cause the balance in the account
646	605		295
647	606		to exceed 11% of Income Tax Fund appropriations for the fiscal year in which the
648	607		296
649	608		Income Tax Fund revenue surplus occurred, the Division of Finance shall transfer
650	609		297
651	610		only those funds necessary to ensure that the balance in the account equals 11% of
652	611		298
653	612		Income Tax Fund appropriations for the fiscal year in which the revenue surplus
654	613		299
655	614		occurred.
	615	+	- 9 - 1st Sub. (Buff) H.B. 464 02-27 12:10
656	616		300
657	617		(iii) The Division of Finance shall calculate the amount to be transferred under this
658	618		301
659	619		Subsection (3)(b):
660	620		302
661	621		(A) before transferring from the Income Tax Fund revenue surplus any other
662	622		303
663	623		year-end contingency appropriations, year-end set-asides, or other year-end
664		-	- 10 - Enrolled Copy H.B. 464
665	624		304
666	625		transfers required by law; and
667	626		305
668	627		(B) excluding any direct legislative appropriation made to the Income Tax Fund
669	628		306
670	629		Budget Reserve Account for the fiscal year.
671	630		307
672	631		(c) For appropriations made by the Legislature to the Income Tax Fund Budget Reserve
673	632		308
674	633		Account, the Division of Finance shall treat those appropriations, unless specified
675	634		309
676	635		otherwise in the appropriation, as replacement funds for appropriations made from
677	636		310
678	637		the account if funds were appropriated from the account within the past 10 years and
679	638		311
680	639		have not yet been replaced.
681	640		312
682	641		(4) Notwithstanding Subsection (3), if, at the end of a fiscal year, the Division of Finance
683	642		313
684	643		determines that an operating deficit exists, the Division of Finance may reduce the
685	644		314
686	645		transfer to the Income Tax Fund Budget Reserve Account by the amount necessary to
687	646		315
688	647		eliminate the operating deficit.
689	648		316
690	649		(5) The Legislature may appropriate money from the Income Tax Fund Budget Reserve
691	650		317
692	651		Account only to resolve an Income Tax Fund budget deficit.
693	652		318
694	653		(6) Interest generated from investments of money in the Income Tax Fund Budget Reserve
695	654		319
696	655		Account shall be deposited into the Income Tax Fund.
697	656		320
698	657		Section 7. Effective Date.
699	658		321
700	659		This bill takes effect on May 7, 2025.
701		-	- 11 -
	660	+	- 10 -