HB 545 — Budgetary Modifications

545 Enrolled Copy (11)(a) "State conservation efforts" includes:

(12)(12)(a) (a) "Working agricultural land" means agricultural land for which an owner or producer engages in the activity of producing for commercial purposes crops, orchards, livestock, poultry, aquaculture, livestock products, or poultry products and the facilities, equipment, and property used to facilitate the activity.

- 6 - HB0545 compared with HB0545S04 (b) "Working agricultural land" includes an agricultural protection area established under Title 17, Chapter 81, Agriculture, Industrial, and Critical Infrastructure Materials.

4-46-202.4-46-202 (Effective 07/01/26) (Repealed 07/01/27).

LeRay McAllister Working Farm and Ranch Account 4-46-301.4-46-301 (Effective 07/01/26).

(b)- grants6 from- federalEnrolled orCopy privateH.B. sources;

545 (b) grants from federal or private sources;

4-46-302.4-46-302 (Effective 07/01/26).

- 7 - HB0545 compared with HB0545S04 (c) an entity within the department;

(2)(2)(a) (a) The money in the [fund] account shall be used for preserving or restoring open land and agricultural land.

(d) Eminent domain may not be used or threatened in connection with any purchase using- money7 from- theH.B. [fund] account.

545 Enrolled Copy using money from the [fund] account.

and - 8 - HB0545 compared with HB0545S04 (ii) after giving priority to working agricultural land under Subsection (2)(h)(i), requests from the Department of Natural Resources for up to 20% of each annual increase in the amount of money in the [fund] account if the money is used for the protection of wildlife or watershed.

(i)(i)(i) (i) The board may not make a grant from the [fund] account that exceeds $1,000,000 until after making a report to the Legislative Management Committee about the grant.

(f) the open land preservation plan of the local entity where the project is located and the priority- placed8 on- theEnrolled projectCopy byH.B. that local entity;

545 priority placed on the project by that local entity;

(4) If a local entity, department, or organization under Subsection (1) seeks money from the [fund][ fund] account for a project whose purpose is to protect critical watershed, the board shall require that the needs and quality of that project be verified by the state engineer.

(6)(6)(a) (a) The board may not authorize the use of money under this section for a project unless the land use authority for the land in which the project is located consents to the project.

(b)(b)(i) (i) To obtain consent to a project, the person who is seeking money from the [fund] account shall submit a request for consent to a project with the applicable land use authority.

- 9 - HB0545 compared with HB0545S04 (ii) The land use authority may grant or deny consent.

4-46-303.4-46-303 (Effective 07/01/26).

4-46-304.4-46-304 (Effective 07/01/26) (Partially Repealed 07/01/27).

Agriculture Conservation- Easement9 Fund.- H.B.

545 Enrolled Copy Conservation Easement Fund.

- 10 - HB0545 compared with HB0545S04 Section 7.

4-46-401.4-46-401 (Effective 07/01/26) (Partially Repealed 07/01/27).

(2)(2)(a) (a) The director is the executive and administrative head of the division.

and (f)- implementing10 rules- madeEnrolled byCopy theH.B. department in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, and Section 4-46-403.

545 (f) implementing rules made by the department in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, and Section 4-46-403.

17-81-501.17-81-501 (Effective 07/01/26).

- 11 - HB0545 compared with HB0545S04 (3) Eminent domain may not be used or threatened in connection with any purchase using the rollback tax funds.

39A-8-104.39A-8-104 (Effective 07/01/26).

(2) In designating sentinel lands, the coordinating committee shall include all working or natural- lands11 that- theH.B. coordinating committee believes contribute to the long-term sustainability of the military missions conducted at Camp Williams.

545 Enrolled Copy natural lands that the coordinating committee believes contribute to the long-term sustainability of the military missions conducted at Camp Williams.

and - 12 - HB0545 compared with HB0545S04 (c) the Executive Appropriations Committee.

53-3-106.53-3-106 (Effective 07/01/26).

(3)(3)(a) (a) The account shall earn interest.

[(5)]- (6)12 The- amountEnrolled inCopy excessH.B. of $45 of the fees collected under Subsection 53-3-105(27) shall be appropriated by the Legislature from this account to the department to implement the provisions of Section 53-1-117, except that of the amount in excess of $45, $100 shall be deposited into the State Laboratory Drug Testing Account created in Section 26B-1-304.

545 [(5)] (6) The amount in excess of $45 of the fees collected under Subsection 53-3-105(27) shall be appropriated by the Legislature from this account to the department to implement the provisions of Section 53-1-117, except that of the amount in excess of $45, $100 shall be deposited into the State Laboratory Drug Testing Account created in Section 26B-1-304.

- 13 - HB0545 compared with HB0545S04 [(9)] (10)(10)(a) (a) Beginning on January 1, 2013, the Legislature shall appropriate all money received in the account under Section 41-1a-1201 to the Utah Highway Patrol Division for field operations.

63C-25-101.63C-25-101 (Effective 07/01/26) (Repealed 07/01/27).

(3)(3)(a) (a) "Bonding government entity" means the state or any entity that is authorized to issue bonds under any provision of state law.

and (ii) a public infrastructure district that is authorized to issue bonds either directly, or through- the13 authority- ofH.B. a bonding political subdivision or other governmental entity.

545 Enrolled Copy through the authority of a bonding political subdivision or other governmental entity.

- 14 - HB0545 compared with HB0545S04 (a) operates, finances, maintains, or constructs a government facility under a contract with a bonding political subdivision;

(a)- the14 maximum:- Enrolled Copy H.B.

545 (a) the maximum:

- 15 - HB0545 compared with HB0545S04 (c) the Clean Fuel Conversion Funds, created in Title 19, Chapter 1, Part 4, Clean Fuels and Emission Reduction Technology Program Act;

(16)(16)(a) (a) "State funds" means an appropriation by the Legislature identified as coming from the General Fund or Education Fund.

(b)- "State15 funds"- doesH.B. not include:

545 Enrolled Copy (b) "State funds" does not include:

63G-6b-101.63G-6b-101 (Effective 07/01/26).

(1)(1)(a) - 16 - HB0545 compared with HB0545S04 (a) "Administering agency" means a state agency that administers a grant.

(4)(4)(a) (a) "Grant" means a state agency's expenditure of state money, or agreement to expend state money, that is:

[(6)] (7) "Grant period" means the time frame during which a grant recipient receives funds from- a16 single- grant.Enrolled Copy H.B.

545 from a single grant.

and - 17 - HB0545 compared with HB0545S04 (c) is exempt from federal income taxation under Section 501(c)(3), Internal Revenue Code.

[(10)] (11)(11)(a) (a) "State agency" means a department, division, or other agency or instrumentality of the state.

63G-6b-201.63G-6b-201 (Effective 07/01/26).

{[(1)}(1)(a) {(a) An administering agency shall disburse grant funds in accordance with this Subsection (1).]}(1). {[(b) Before an administering agency disburses a grant's grant funds, the administering agency shall ensure that the grant recipient provides a detailed budget demonstrating how the grant recipient will use the grant funds.]} {[(c) An administering agency shall establish a distribution schedule that ensures accountability and responsible oversight of the use of the grant funds.]} {[(d) An administering agency may not:]} {[(i) disburse all grant funds in a single payment, unless the administering agency makes the single payment after the grant recipient satisfies the grant recipient's performance obligations under the }[agreement described in Subsection (4)] grant agreement{;

or]}(b) {[(ii)Before makean aadministering grantagency recipient'sdisburses finala disbursementgrant's before the grant recipientfunds, delivers the reportadministering describedagency inshall Subsectionensure (3).]}that {[(2)the Forgrant recipient provides a multi-yeardetailed grant:]}budget {[(a)demonstrating how the grant periodrecipient maywill notuse exceedthe fivegrant years;funds.

and]}(c) {[(b) in the final quarter of each year of the grant period, excluding the final year, the grant recipient shall deliver to the administering agency a report that details the grant recipient's progress towards fulfilling the grant's purpose, including the annual deliverables and performance metrics described in the }[agreement made in accordance with Subsection (4)] grant agreement{.]} {[(3) An administering agency mayshall notestablish make the final grant funds disbursement until:]} {[(a) the grant recipient delivers to the administering agency a finaldistribution reportschedule that detailsensures theaccountability extentand toresponsible whichoversight theof grant recipient fulfilled the grant'suse purpose,of including the deliverables and performance - 18 - HB0545 compared with HB0545S04 metrics described in the }[agreement made in accordance with Subsection (4)] grant agreement{;funds.

and]}(d) {[(b)An the administering agency determines that the grant recipient satisfactorily produced each deliverable provided in the }[agreement described in Subsection (4)] grant agreement{.]} {[(4){]} {(1)} } Except as otherwise provided in the grant appropriation{[ and consistent with the other provisions of this section]} , an administering agency may notnot: disburse grant funds to a grant recipient before{:} {(a)} the administering agency and the grant recipient execute an agreement that contains:

{[(a)(i) thedisburse disbursementall schedulegrant forfunds thein granta funds;]}single {[(b){]}payment, {(i)}unless } the deliverables,administering reporting,agency andmakes performance metrics the grantsingle recipientpayment willafter produce and use to demonstrate that the grant recipient {[usedsatisfies the grant funds{]}recipient's incurredperformance eachobligations expenseunder for which the administering[agreement agencydescribed seeksin reimbursement}Subsection to(4)] fulfillgrant theagreement; grant's purpose;

{[(c){]}or {(ii)}(ii) }make ifa the grant isrecipient's afinal multi-yeardisbursement grant,before annual deliverables and performance metrics the grant recipient willdelivers producethe andreport usedescribed toin demonstrateSubsection sufficient(3). progress towards fulfilling the grant's purpose;

{[(d){]}(2) {(iii)}For } a provisionmulti-year informinggrant: the grant recipient that disbursement of grant funds is subject to legislative appropriation;

and(a) {[(e){]} {(iv)} } the grant recipient'speriod consentmay tonot follow-upexceed auditfive andyears; clawback of the grant funds if an audit shows that the grant funds were inappropriately used{[.{]} ;

and}and {(b)(b) thein grant recipient provides to the administeringfinal agencyquarter aof detailedeach budgetyear demonstratingof anticipated expenses for which the grant recipientperiod, willexcluding seekthe reimbursement.}final {(2)}year, {(a) Except as otherwise provided in the grant appropriation, an administering agency may disburse grant funds only as reimbursement for an expense a grant recipient incursshall duringdeliver to the grant period.} {(b) Before an administering agency reimburses a grantreport recipientthat fordetails an expense using grant funds, the grant recipientrecipient's shallprogress providetowards tofulfilling the administeringgrant's agencypurpose, documentation,including in the formannual ofdeliverables aand receiptperformance ormetrics comparabledescribed record,in that demonstrates:} {(i) the amount[agreement ofmade thein expense;}- {(ii)17 the- dateH.B. on which the grant recipient incurred the expense;

and}545 {(iii)Enrolled theCopy grantaccordance recipient incurred the expense for a purpose that is consistent with theSubsection grant's(4)] purpose and the grant agreement.}agreement. - 19 - HB0545 compared with HB0545S04 {(c)} {(i) If a grant recipient does not have a receipt or comparable record for an expense for which the grant recipient seeks reimbursement, the administering agency may not reimburse the expense unless:} {(A) the grant recipient allows an independent third party to review the grant recipient's financial records that relate to the grant;

and}(3) {(B) the independent third party provides a report to the administering agency that identifies each expense the independent third party determines is adequately supported and incurred for a purpose consistent with the grant's purpose and the grant agreement.} {(ii) After receiving a report from the independent third party under Subsection (2)(c)(i)(B), the administering agency may reimburse a grant recipient for each expense the report identifies.} {(3) An administering agency may not make a grant recipient's final disbursement before:} {(a) the grant recipient delivers to the administering agency a final report that details the extent to which the grant recipientfunds fulfilleddisbursement theuntil: grant's purpose, including the deliverables and performance metrics described in the grant agreement;

and}(a) {(b)the grant recipient delivers to the administering agency determinesa final report that details the extent to which the grant recipient satisfactorilyfulfilled producedthe eachgrant's deliverablepurpose, providedincluding in the grantdeliverables agreement.}and {(4)performance Formetrics adescribed multi-yearin grant:}the {(a)[agreement themade grantin periodaccordance maywith notSubsection exceed(4)] fivegrant years;agreement;

and}and {(b)(b) in the final quarter of each year of the grant period, excluding the final year, the grant recipient shall deliver to the administering agency adetermines report that details the grant recipient'srecipient progresssatisfactorily towardsproduced fulfillingeach thedeliverable grant'sprovided purpose,in including the annual[agreement deliverables and performance metrics described in theSubsection grant(4)] agreement.} (5) (a) In accordance with Utah Constitution, Article VI, Section 33, the legislative auditor general may audit the use of any grant funds.agreement.

(4) Except as otherwise provided in the grant appropriation and consistent with the other provisions of this section, an administering agency may not disburse grant funds to a grant recipient before the administering agency and the grant recipient execute an agreement that contains:

(a) the disbursement schedule for the grant funds;

(b) the deliverables, reporting, and performance metrics the grant recipient will produce and use to demonstrate that the grant recipient used the grant funds to fulfill the grant's purpose;

(c) if the grant is a multi-year grant, annual deliverables and performance metrics the grant recipient will produce and use to demonstrate sufficient progress towards fulfilling the grant's purpose;

(d) a provision informing the grant recipient that disbursement of grant funds is subject to legislative appropriation;

and (e) the grant recipient's consent to follow-up audit and clawback of the grant funds if an audit shows that the grant funds were inappropriately used.

(5)(a) In accordance with Utah Constitution, Article VI, Section 33, the legislative auditor general may audit the use of any grant funds.

63G-6b-301.63G-6b-301 (Effective 07/01/26).

(1)(1)(a) (a) A direct award grant is valid only if the direct award grant's grant appropriation identifies the recipient or class of recipients in the grant appropriation's intent language.

- 20 - HB0545 compared with HB0545S04 (b) For a grant appropriation that is an ongoing appropriation to fund a multi-year grant, the- requirement18 to- identifyEnrolled theCopy recipientH.B. or class of recipients applies each fiscal year.

545 the requirement to identify the recipient or class of recipients applies each fiscal year.

63G-6b-401.63G-6b-401 (Effective 07/01/26).

(1)(1)(a) (a) For a competitive grant, the administering agency shall:

63G-9-201.63G-9-201 (Effective 07/01/26).

(a) "Political subdivision" means any county, city, town, school district, community reinvestment agency, special improvement or taxing district, special district, special service district, an entity - 21 - HB0545 compared with HB0545S04 created by an interlocal agreement adopted under Title 11, Chapter 13, Interlocal Cooperation Act, or other governmental subdivision or public corporation.

(b)- "State"19 means- theH.B. state of Utah, and includes each office, department, division, agency, authority, commission, board, institution, college, university, Children's Justice Center, or other instrumentality of the state.

545 Enrolled Copy (b) "State" means the state of Utah, and includes each office, department, division, agency, authority, commission, board, institution, college, university, Children's Justice Center, or other instrumentality of the state.

63G-9-301.63G-9-301 (Effective 07/01/26).

(1)(1)(a) (a) The Board of Examiners shall audit any claim presented to it, if the settlement of the claim is required by law.

(2)(2)(a) (a) When an agency's line item appropriation has been overexpended and a written report is submitted to the board as required by Section 63J-1-217, the board shall review the report and either:

(b)(b)(i) (i) A member of the board may not participate in the board's review of a report under this Subsection (2) if the overexpended line item that is in the report belongs to the member's office.

- 22 - HB0545 compared with HB0545S04 (ii) When a member is disqualified under Subsection (2)(b)(i), the state treasurer shall serve in the disqualified member's position for purposes of performing the board's duties related to the report.

Section- 18.20 - Enrolled Copy H.B.

545 Section 18.

63I-1-223.63I-1-223 (Effective 07/01/26).

63I-2-263.63I-2-263 (Effective 07/01/26).

- 23 - HB0545 compared with HB0545S04 Section 20.

63J-1-105.63J-1-105 (Effective 07/01/26).

Revenue types -- Disposition of dedicated credits and- expendable21 receipts.- H.B.

(1)545 (a)Enrolled DedicatedCopy credits are subject to appropriations and theexpendable restrictionsreceipts. in this chapter.

(1)(a) Dedicated credits are subject to appropriations and the restrictions in this chapter.

(a)(a)(i) (i) the agency's dedicated credits revenue represents over 90% of the budget of the line item for which the dedicated credits are collected;

or (b) the dedicated credits are appropriated to an expendable special revenue fund, {an enterprise } a proprietary fund, or a fiduciary fund.

(6)(6)(a) - 24 - HB0545 compared with HB0545S04 (a) All excess dedicated credits not received or expended in compliance with Subsection (3), (4), or (7) lapse to the General Fund or other appropriate fund as free or restricted revenue at the end of the fiscal year.

(b) The Division of Finance shall determine the appropriate fund into which the dedicated- credits22 lapse.- Enrolled Copy H.B.

(7)545 (a) When an agency has a line item that is funded by more than one major revenue type, one of which is dedicated credits, the agency shall completely expend authorized dedicated credits withinlapse. the current fiscal year and allocate unused spending authorization among other funding sources based upon a proration of the amounts appropriated from each of those major revenue types not attributable to dedicated credits, unless the Legislature has designated a portion of the dedicated credits as nonlapsing, in which case the agency shall completely expend within the current fiscal year authorized dedicated credits minus the portion of dedicated credits designated as nonlapsing, and allocate unused spending authorization among the other funding sources based upon a proration of the amounts appropriated from each of those major revenue types not attributable to dedicated credits.

(7)(a) When an agency has a line item that is funded by more than one major revenue type, one of which is dedicated credits, the agency shall completely expend authorized dedicated credits within the current fiscal year and allocate unused spending authorization among other funding sources based upon a proration of the amounts appropriated from each of those major revenue types not attributable to dedicated credits, unless the Legislature has designated a portion of the dedicated credits as nonlapsing, in which case the agency shall completely expend within the current fiscal year authorized dedicated credits minus the portion of dedicated credits designated as nonlapsing, and allocate unused spending authorization among the other funding sources based upon a proration of the amounts appropriated from each of those major revenue types not attributable to dedicated credits.

(10)(10)(a) (a) Expendable receipts are not limited by appropriations.

(c) If an agency receives excess expendable receipts revenue that is more than 25% greater than the amount included for a line item by the Legislature in the annual appropriations acts, the agency - 25 - HB0545 compared with HB0545S04 shall report the excess amount, the source of the expendable receipts, and the purpose for which the expendable receipts will be expended to the Governor's Office of Planning and Budget, the legislative fiscal analyst, and the Executive Appropriations Committee within 60 days of submitting a revised budget execution plan as provided in Section 63J-1-209.

63J-1-217.- 23 - H.B.

545 Enrolled Copy 63J-1-217 (Effective 07/01/26).

(2)(2)(a) (a) Line items of appropriation shall not be overexpended.

(3)(3)(a) (a) As used in this Subsection (3):

and - 26 - HB0545 compared with HB0545S04 (ii) direct the Division of Finance to reduce allotments to institutions of higher education by an amount proportionate to the amount of the deficiency.

(4)(4)(a) (a) A department may not receive an advance of funds that cannot be covered by anticipated revenue within the budget execution plan of the fiscal year, unless the governor allocates money from the governor's emergency appropriations.

(b) All allocations made from the governor's emergency appropriations shall be reported to [the budget subcommittee of ]the Legislative Management Committee by notifying the- Office24 of- theEnrolled LegislativeCopy FiscalH.B. Analyst at least 15 days before the effective date of the allocation.

545 the Office of the Legislative Fiscal Analyst at least 15 days before the effective date of the allocation.

63J-1-602.1.63J-1-602.1 (Effective 07/01/26).

- 27 - HB0545 compared with HB0545S04 (11) The Criminal Background Check Restricted Account created in Section 31A-3-105.

(17)- The25 Underage- DrinkingH.B. Prevention Media and Education Campaign Restricted Account created in Section 32B-2-306.

545 Enrolled Copy (17) The Underage Drinking Prevention Media and Education Campaign Restricted Account created in Section 32B-2-306.

- 28 - HB0545 compared with HB0545S04 (33) The DNA Specimen Restricted Account created in Section 53-10-407.

(39)- Certain26 fines- collectedEnrolled byCopy theH.B. Division of Professional Licensing for violation of unlawful or unprofessional conduct that are used for education and enforcement purposes, as provided in Section 58-17b-505.

545 (39) Certain fines collected by the Division of Professional Licensing for violation of unlawful or unprofessional conduct that are used for education and enforcement purposes, as provided in Section 58-17b-505.

- 29 - HB0545 compared with HB0545S04 (50) Funds collected by the Office of Administrative Rules for publishing, as provided in Section 63G-3-402.

(58)- Certain27 forestry- andH.B. fire control funds utilized by the Division of Forestry, Fire, and State Lands, as provided in Section 65A-8-103.

545 Enrolled Copy (58) Certain forestry and fire control funds utilized by the Division of Forestry, Fire, and State Lands, as provided in Section 65A-8-103.

- 30 - HB0545 compared with HB0545S04 [(67)] (68) Funds collected for indigent defense as provided in Title 78B, Chapter 22, Part 4, Utah Indigent Defense Commission.

63J-1-602.2.63J-1-602.2 (Effective 07/01/26) (Partially Repealed 07/01/29).

(2) The State Board of Education, including all appropriations to agencies, line items, and programs- under28 the- jurisdictionEnrolled ofCopy theH.B. State Board of Education, in accordance with Section 53F-9-103.

545 programs under the jurisdiction of the State Board of Education, in accordance with Section 53F-9-103.

- 31 - HB0545 compared with HB0545S04 (16) The Communication Habits to reduce Adolescent Threats (CHAT) Pilot Program created in Section 26B-7-122.

(23) The Utah Board of Higher Education for teacher preparation programs, as provided in Section- 53H-5-402.29 - H.B.

545 Enrolled Copy Section 53H-5-402.

- 32 - HB0545 compared with HB0545S04 (35) The Division of Human Resource Management user training program, as provided in Section 63A-17-106.

[(43)]- (42)30 Adoption- documentEnrolled accessCopy asH.B. provided in Sections 81-13-103, 81-13-504, and 81-13-505.

545 [(43)] (42) Adoption document access as provided in Sections 81-13-103, 81-13-504, and 81-13-505.

63M-14-102.63M-14-102 (Effective 07/01/26).

- 33 - HB0545 compared with HB0545S04 (4) "Chair" means the chair of the authority.

63N-3-103.- 31 - H.B.

545 Enrolled Copy 63N-3-103 (Effective 07/01/26).

63N-3-105.63N-3-105 (Effective 07/01/26).

(1) - 34 - HB0545 compared with HB0545S04 {(a)} Subject to {legislativethe appropriation and }the requirements of this part, the administrator may provide loans, grants, or other financial assistance from the restricted account to an entity offering an economic opportunity if that entity:

{[(a){]}(a) {(i)} } applies to the administrator in a form approved by the administrator;

and {[(b){]}(b) {(ii)} } meets the qualifications of Subsection (2).

{(b) On or after July 1, 2026, the administrator may not provide loans from the restricted account.} (2) As part of an application for receiving financial assistance under this part, an applicant shall demonstrate the following to the satisfaction of the administrator:

(d)- for32 an- applicationEnrolled forCopy aH.B. loan, the applicant's ability to sustain economic activity in the state sufficient to repay, by means of cash or appropriate credits, the loan provided by the restricted account;

545 (d) for an application for a loan, the applicant's ability to sustain economic activity in the state sufficient to repay, by means of cash or appropriate credits, the loan provided by the restricted account;

(3)(3)(a) (a) The administrator may exempt an applicant from any of the requirements of Subsection (2) if:

- 35 - HB0545 compared with HB0545S04 (4) The GOEO board shall make recommendations to the administrator regarding applications for loans, grants, or other financial assistance from the Industrial Assistance Account.

63N-3-106.63N-3-106 (Effective 07/01/26).

(1)(1)(a) (a) Subject to [Subsection (1)(b)] the other provisions of this part, the administrator has authority to determine the structure, amount, and nature of any loan, grant, or other financial assistance from the restricted account.

(b) Loans made under this part shall be structured so the intended repayment or return to the- state,33 including- cashH.B. or credit, equals at least the amount of the assistance together with an annual interest charge as negotiated by the administrator.

545 Enrolled Copy the state, including cash or credit, equals at least the amount of the assistance together with an annual interest charge as negotiated by the administrator.

(2)(2)(a) (a) The administrator may provide for a system of earned credits that may be used to support grant payments or in lieu of cash repayment of a restricted account loan obligation.

(3)(3)(a) - 36 - HB0545 compared with HB0545S04 (a) A cash loan repayment or other cash recovery from a company receiving assistance under this section, including interest, shall be deposited into the restricted account.

(4)(4)(a)(i) (a) (i) At the end of each fiscal year, the Division of Finance shall [transfer] set aside the balance of the General Fund revenue surplus as defined in Section 63J-1-312 after the transfers of General Fund revenue surplus described in Subsection (4)(b) to the Industrial Assistance Account in an amount equal to any credit that has accrued under this part.

(A)- the34 Utah- WildfireEnrolled Fund;Copy H.B.

545 (A) the Utah Wildfire Fund;

67-3-1.67-3-1 (Effective 07/01/26).

(1)(1)(a) (a) The state auditor is the auditor of public accounts and is independent of any executive or administrative officers of the state.

(i) {[isis not limited in the selection of personnel}[personnel[ or in the determination of] ;

and{and } - 37 - HB0545 compared with HB0545S04 (ii) may determine {thethe reasonable and necessary expenses of the state auditor's office]}office {may select personnel } in accordance with Title 63J, Chapter 1, Budgetary Procedures Act, and subject to {operate the state auditor's office} Title 63G, Chapter 9, Part 3, Review of Claims.

(3)(3)(a) (a) The state auditor shall:

and (D) [compliance with the law] whether the entity responsible for the audited fund or account has engaged in financial practices, used public funds, or managed public- property35 in- aH.B. manner that complies with the applicable legal requirements identified in connection with the audit.

545 Enrolled Copy public property in a manner that complies with the applicable legal requirements identified in connection with the audit.

(c)(c)(i) (i) The costs of the federal compliance portion of the audit may be paid from an appropriation to the state auditor from the General Fund.

- 38 - HB0545 compared with HB0545S04 (ii) If an appropriation is not provided, or if the federal government does not specifically provide for payment of audit costs, the costs of the federal compliance portions of the audit shall be allocated on the basis of the percentage that each state entity's federal funding bears to the total federal funds received by the state.

(4)(4)(a) (a) Except as provided in Subsection (4)(b), the state auditor shall, in addition to financial audits, and as the auditor determines is necessary, conduct performance and special purpose audits, examinations, and reviews of any entity that receives public funds, including a determination of any or all of the following:

and (b)- may:36 - Enrolled Copy H.B.

545 (b) may:

- 39 - HB0545 compared with HB0545S04 (6) The state auditor may require all persons who have had the disposition or management of any property of this state or its political subdivisions to submit statements regarding the property at the time and in the form that the auditor requires.

and (i) withhold state allocated funds or the disbursement of property taxes from a local government entity or a limited purpose entity, as those terms are defined in Section 67-1a-15 if the state auditor finds - 4037 - HB0545H.B. compared with HB0545S04 the withholding necessary to ensure that the entity registers and maintains the entity's registration with the lieutenant governor, in accordance with Section 67-1a-15.

(8)545 (a)Enrolled ExceptCopy as(i) otherwisewithhold providedstate byallocated law,funds or the statedisbursement auditorof mayproperty nottaxes withholdfrom fundsa underlocal Subsectiongovernment (7)(g)entity untilor a statelimited orpurpose localentity, taxingas orthose fee-assessingterms unitare hasdefined receivedin formalSection written67-1a-15 noticeif ofthe noncompliancestate fromauditor finds the auditorwithholding andnecessary hasto beenensure giventhat 60the daysentity toregisters makeand maintains the specifiedentity's corrections.registration with the lieutenant governor, in accordance with Section 67-1a-15.

(8)(a) Except as otherwise provided by law, the state auditor may not withhold funds under Subsection (7)(g) until a state or local taxing or fee-assessing unit has received formal written notice of noncompliance from the auditor and has been given 60 days to make the specified corrections.

or (B)- filing38 an- actionEnrolled inCopy aH.B. court with jurisdiction under Title 78A, Judiciary and Judicial Administration, requesting an order of the court to prohibit a financial institution from providing the taxing or fee- assessing unit access to an account.

545 (B) filing an action in a court with jurisdiction under Title 78A, Judiciary and Judicial Administration, requesting an order of the court to prohibit a financial institution from providing the taxing or fee-assessing unit access to an account.

- 41 - HB0545 compared with HB0545S04 (9) The state auditor may not withhold funds under Subsection (7)(h) until a county has received formal written notice of noncompliance from the auditor and has been given 60 days to make the specified corrections.

(10)(10)(a) (a) The state auditor may not withhold funds under Subsection (7)(i) until the state auditor receives a notice of non-registration, as that term is defined in Section 67-1a-15.

and (b) may authorize a disbursement by a local government entity, limited purpose entity, or- state39 or- localH.B. taxing or fee-assessing unit as the state auditor determines is appropriate.

(12)545 -Enrolled 42Copy -or HB0545state comparedor withlocal HB0545S04taxing (a)or Thefee-assessing stateunit auditoras may seek relief under the Utahstate Rulesauditor ofdetermines Civil Procedure to take temporary custody of public funds if an action is necessaryappropriate. to protect public funds from being improperly diverted from their intended public purpose.

(12)(a) The state auditor may seek relief under the Utah Rules of Civil Procedure to take temporary custody of public funds if an action is necessary to protect public funds from being improperly diverted from their intended public purpose.

(14)(14)(a) (a) The state auditor may, in accordance with the auditor's responsibilities for political subdivisions of the state as provided in Title 51, Chapter 2a, Accounting Reports from Political Subdivisions, Interlocal Organizations, and Other Local Entities- Act,40 initiate- auditsEnrolled orCopy investigationsH.B. of any political subdivision that are necessary to determine honesty and integrity in fiscal affairs, accuracy and reliability of financial statements, effectiveness, and adequacy of financial controls and compliance with the law.

-545 43Entities -Act, HB0545initiate comparedaudits withor HB0545S04investigations (b) If the state auditor receives notice under Subsection 11-41-104(7) from the Governor's Office of Economicany Opportunitypolitical onsubdivision orthat afterare Julynecessary 1,to 2024,determine thehonesty stateand auditorintegrity mayin initiatefiscal anaffairs, auditaccuracy orand investigationreliability of thefinancial publicstatements, entityeffectiveness, subjectand toadequacy theof noticefinancial tocontrols determineand compliance with Sectionthe 11-41-103.law.

(15)(b) (a)If Thethe state auditor mayreceives notnotice auditunder workSubsection that11-41-104(7) from the Governor's Office of Economic Opportunity on or after July 1, 2024, the state auditor performedmay beforeinitiate becomingan stateaudit auditor.or investigation of the public entity subject to the notice to determine compliance with Section 11-41-103.

(15)(a) The state auditor may not audit work that the state auditor performed before becoming state auditor.

and (v)(v)(A) (A) prepare instructional materials, conduct training programs, and render other services considered necessary to assist special districts and special service districts in implementing the uniform accounting, budgeting, and reporting procedures;- 41 - H.B.

545 Enrolled Copy procedures;

and - 44 - HB0545 compared with HB0545S04 (b) continually analyze and evaluate the accounting, budgeting, and reporting practices and experiences of specific special districts and special service districts selected by the state auditor and make the information available to all districts.

(17)(17)(a) (a) The following records in the custody or control of the state auditor are protected records under Title 63G, Chapter 2, Government Records Access and Management Act:

(d) (i) As used in this Subsection (17)(d), "record dispute" means a dispute between the state auditor and the subject of an audit performed by the state auditor as to whether the state auditor may release - 4542 - HB0545Enrolled comparedCopy withH.B. HB0545S04 a record, as defined in Section 63G-2-103, to the public that the state auditor gained access to in the course of the state auditor's audit but which the subject of the audit claims is not subject to disclosure under Title 63G, Chapter 2, Government Records Access and Management Act.

545 (d)(i) As used in this Subsection (17)(d), "record dispute" means a dispute between the state auditor and the subject of an audit performed by the state auditor as to whether the state auditor may release a record, as defined in Section 63G-2-103, to the public that the state auditor gained access to in the course of the state auditor's audit but which the subject of the audit claims is not subject to disclosure under Title 63G, Chapter 2, Government Records Access and Management Act.

(21)(21)(a) (a) Notwithstanding Subsection (20), the state auditor shall conduct regular audits of:

- 4643 - HB0545H.B. compared with HB0545S04 (b) Nothing in this subsection limits or impairs the authority of the State Board of Education to administer the programs described in Subsection (21)(a).

545 Enrolled Copy (b) Nothing in this subsection limits or impairs the authority of the State Board of Education to administer the programs described in Subsection (21)(a).

(23)(23)(a) (a) A legislator may request that the state auditor conduct an inquiry to determine whether a government entity, government official, or government employee has complied with a legal obligation directly imposed, by statute, on the government entity, government official, or government employee.

- 47 - HB0545 compared with HB0545S04 (26) The state auditor shall ensure compliance with Section 63G-1-704 regarding the display of flags in or on government property.

(27)- (a)44 On- orEnrolled beforeCopy JanuaryH.B. 31 each year, the state auditor shall prepare a report that states, for each entity that holds public funds as defined in Section 51-7-3, the entity's total balance, as of the last day of the immediately preceding fiscal year, of cash, cash equivalents, and investments, as those terms are defined under the standards established by the Governmental Accounting Standards Board.

545 (27)(a) On or before January 31 each year, the state auditor shall prepare a report that states, for each entity that holds public funds as defined in Section 51-7-3, the entity's total balance, as of the last day of the immediately preceding fiscal year, of cash, cash equivalents, and investments, as those terms are defined under the standards established by the Governmental Accounting Standards Board.

Section 2979-6-410 is enacted to read:

79-6-410.79-6-410 (Effective 07/01/26).

(5)(5)(a) (a) A public entity that borrows money from the fund shall enter into a loan agreement with the office for repayment of the money.

(b)(b)(i) (i) The office shall ensure that a loan under this section is secured by:

- 48 - HB0545 compared with HB0545S04 (c) A loan under this section shall bear interest at a rate not to exceed .5% above bond market interest rates available to the state.

and (b)- the45 project- willH.B. be completed.

545 Enrolled Copy (b) the project will be completed.

79-6-1105.79-6-1105 (Effective 07/01/26).

79-6-1106.79-6-1106 (Effective 07/01/26).

(1)(1)(a) (a) [The] Subject to legislative appropriation, the council may use fund money to:

and - 49 - HB0545 compared with HB0545S04 (G) district energy systems as defined in Section 79-6-602;

[(2)] (b) [Fund] Except as provided in Subsection (2), fund money derived from the radioactive- waste46 facility- expansionEnrolled taxCopy revenueH.B. collected under Section 59-24-103.8 is prioritized for activities related to the development of nuclear energy.

545 radioactive waste facility expansion tax revenue collected under Section 59-24-103.8 is prioritized for activities related to the development of nuclear energy.

This Bill Repeals:

Operating and Capital Budgets Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures Act, the Legislature appropriates the following sums of money from the funds or accounts indicated for - 50 - HB0545 compared with HB0545S04 the use and support of the government of the state of Utah.

Under the terms and conditions of Utah Code 63J-1-410, for any included Internal Service Fund, the Legislature approves budgets, full-time permanent positions, and capital acquisition amounts as indicated, and- appropriates47 to- theH.B. funds, as indicated, estimated revenue from rates, fees, and other charges.

545 Enrolled Copy and appropriates to the funds, as indicated, estimated revenue from rates, fees, and other charges.

Expenditures and outlays from - 51 - HB0545 compared with HB0545S04 the funds to which the money is transferred must be authorized by an appropriation.

TEMITEM 4 To General Fund Restricted - Colorado River Authority Restricted Account From General Fund (1,638,500) Schedule of Programs:

Effective date.

Section- 36.48 - Enrolled Copy H.B.

545 Section 36.

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