26B-1-331. Utah State Developmental Center Long-Term Sustainability Fund — Fund management.
| (1) |
As used in this section:
Terms Used In Utah Code 26B-1-331- Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Land: includes :Utah Code 68-3-12.5
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
| (a) |
“Board” means the Utah State Developmental Center Board created in Section 26B-1-429. |
| (b) |
“Division” means the Division of Integrated Healthcare within the department. |
| (c) |
“Sustainability fund” means the Utah State Developmental Center Long-Term Sustainability Fund created in Subsection (2). |
| (d) |
“Utah State Developmental Center” means the Utah State Developmental Center established in accordance with 5. |
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| (2) |
There is created a special revenue fund entitled the “Utah State Developmental Center Long-Term Sustainability Fund.” |
| (3) |
| (a) |
The sustainability fund consists of:
| (i) |
revenue generated from the lease, except any lease existing on May 1, 1995, of land associated with the Utah State Developmental Center; |
| (ii) |
all proceeds from the sale or other disposition of real property, water rights, or water shares associated with the Utah State Developmental Center; and |
| (iii) |
all existing money in the Utah State Developmental Center Land Fund. |
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| (b) |
The state treasurer shall invest sustainability fund money by following the procedures and requirements in Subsection (8). |
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| (4) |
| (a) |
The board shall ensure that money or revenue deposited into the sustainability fund is irrevocable and is expended only as provided in Subsection (5). |
| (b) |
The Legislature may not amend the purposes in Subsection (5) for which money or revenue in the fund may be expended or committed to be expended, except by the affirmative vote of two-thirds of all the members elected to each house. |
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| (5) |
| (a) |
Money may be expended from the sustainability fund to:
| (i) |
fulfill the functions of the Utah State Developmental Center described in Sections 26B-6-502 and 26B-6-504; and |
| (ii) |
assist the division in the division’s administration of services and supports described in Sections 26B-6-402 and 26B-6-403. |
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| (b) |
Money from the sustainability fund may not be expended:
| (i) |
for a purpose other than the purposes described in Subsection (5)(a); or |
| (ii) |
to reduce the amount of money that the Legislature appropriates from the General Fund for the purposes described in Subsection (5)(a). |
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| (6) |
Money may be expended from the sustainability fund only under the following conditions:
| (a) |
if the balance of the sustainability fund is at least $5,000,000 at the end of the fiscal year, the board may expend the earnings generated by the sustainability fund during the fiscal year for a purpose described in Subsection (5)(a); |
| (b) |
if the balance of the sustainability fund is at least $50,000,000 at the end of the fiscal year, the Legislature may appropriate to the division up to 5% of the balance of the sustainability fund for a purpose described in Subsection (5)(a); and |
| (c) |
the board or the division may not expend any money from the sustainability fund, except as provided in Subsection (6)(a), without legislative appropriation. |
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| (7) |
The sustainability fund is revocable only by the affirmative vote of two-thirds of all the members elected to each house of the Legislature. |
| (8) |
| (a) |
The state treasurer shall invest the assets of the sustainability fund with the primary goal of providing for the stability, income, and growth of the principal. |
| (b) |
Nothing in this Subsection (8) requires a specific outcome in investing. |
| (c) |
The state treasurer may deduct any administrative costs incurred in managing sustainability fund assets from earnings before depositing earnings into the sustainability fund. |
| (d) |
| (i) |
The state treasurer may employ professional asset managers to assist in the investment of assets of the sustainability fund. |
| (ii) |
The state treasurer may only provide compensation to asset managers from earnings generated by the sustainability fund’s investments. |
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| (e) |
The state treasurer shall invest and manage the sustainability fund assets as a prudent investor would under Section 67-19d-302. |
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Renumbered and Amended by Chapter 305, 2023 General Session
