63N-3-106. Structure of loans, grants, and assistance — Repayment — Earned credits.
| (1) |
Terms Used In Utah Code 63N-3-106- Administrator: means the executive director or the executive director's designee. See Utah Code 63N-3-102
- 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.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Restricted Account: means the restricted account known as the Industrial Assistance Account created in Section 63N-3-103. See Utah Code 63N-3-102
- 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) |
Subject to Subsection (1)(b), 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, including cash or credit, equals at least the amount of the assistance together with an annual interest charge as negotiated by the administrator. |
| (c) |
Payments resulting from grants awarded from the restricted account shall be made only after the administrator has determined that the company has satisfied the conditions upon which the payment or earned credit was based. |
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| (2) |
| (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. |
| (b) |
The value of the credits described in Subsection (2)(a) shall be based on factors determined by the administrator, including:
| (i) |
the number of Utah jobs created; |
| (ii) |
the increased economic activity in Utah; or |
| (iii) |
other events and activities that occur as a result of the restricted account assistance. |
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| (3) |
| (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. |
| (b) |
The administrator and the Division of Finance shall determine the manner of recognizing and accounting for the earned credits used in lieu of loan repayments or to support grant payments as provided in Subsection (2). |
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| (4) |
| (a) |
| (i) |
At the end of each fiscal year, the Division of Finance shall 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. |
| (ii) |
The set aside under Subsection (4)(a)(i) shall be capped at $50,000,000, at which time no subsequent contributions may be made and any interest accrued above the $50,000,000 cap shall be deposited into the General Fund. |
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| (b) |
The set aside required by Subsection (4)(a) shall be made after the transfer of surplus General Fund revenue surplus is made:
| (i) |
to the Medicaid Growth Reduction and Budget Stabilization Restricted Account, as provided in Section 63J-1-315; |
| (ii) |
to the General Fund Budget Reserve Account, as provided in Section 63J-1-312; and |
| (iii) |
to the Wildland Fire Suppression Fund or State Disaster Recovery Restricted Account, as provided in Section 63J-1-314. |
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| (c) |
These credit amounts may not be used for purposes of the restricted account as provided in this part until appropriated by the Legislature. |
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Amended by Chapter 499, 2023 General Session
