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HB 49
PRIVATIZATION POLICY BOARD
1996 GENERAL SESSION
STATE OF UTAH
Sponsor: Nora B. Stephens
AN ACT RELATING TO THE PRIVATIZATION POLICY BOARD; MODIFYING THE
BOARD'S MEMBERSHIP; CLARIFYING PER DIEM AND EXPENSE REQUIREMENTS;
MODIFYING CHAIR SELECTION PROCEDURES; MODIFYING MEETING
REQUIREMENTS; MODIFYING THE BOARD'S DUTIES; AND PROVIDING FOR
RELATED MATTERS.
This act affects sections of Utah Code Annotated 1953 as follows:
AMENDS:
63-55a-2 , as last amended by Chapter 215, Laws of Utah 1995
63-55a-3 , as enacted by Chapter 221, Laws of Utah 1989
Be it enacted by the Legislature of the state of Utah:
Section 1.
Section
63-55a-2
is amended to read:
63-55a-2. Privatization Policy Board -- Created -- Membership -- Operations.
(1) (a) There is created a Privatization Policy Board composed of [11] 13 members.
(b) The governor shall appoint:
(i) two senators, one each from the majority and minority political parties, from names
recommended by the president of the Senate;
(ii) two representatives, one each from the majority and minority political parties, from
names recommended by the speaker of the House;
(iii) two members representing public employees, from names recommended by the largest
public employees' association;
(iv) one member from state management;
(v) [three] five members from the private business community; and
(vi) one member representing education.
(c) The governor shall submit the names of the nonlegislative appointees to the Senate for
confirmation.
(2) (a) Board members shall serve four-year terms.
(b) In appointing members to the first board, the governor shall designate four members to
serve two-year terms and four members to serve four-year terms.
(3) (a) Each board member shall hold office until his successor has been appointed and
qualified.
(b) If a vacancy occurs in the board because of death, resignation, or otherwise, the governor
shall appoint a successor, who shall hold office for the unexpired term.
(c) [Six] Seven members of the board are a quorum for the purpose of organizing the board
and conducting the business of the board.
(d) The vote of a majority of members voting when a quorum is present is necessary for the
board to take action.
(4) (a) At the initial meeting of the board, the board shall select one of their number to serve
as [chairman] chair of the board.
(b) The chief procurement officer or his designee is the nonvoting secretary to the board and
is responsible for scheduling quarterly meetings.
(5) (a) [Members] Nonlegislative members of the board shall receive per diem and may be
reimbursed for expenses incurred in the performance of their official duties as established by the
Division of Finance.
(b) Legislative members of the board shall receive the subsistence allowance, transportation
costs, and other expenses authorized by legislative rule.
[(b)] (c) The board shall meet at least [once per year] quarterly and at the call of the
[chairman] chair.
Section 2.
Section
63-55a-3
is amended to read:
63-55a-3. Privatization Policy Board -- Duties.
(1) The board shall:
(a) review whether or not certain services performed by existing state agencies could be
privatized to provide the same types and quality of services that would result in cost savings;
(b) review particular requests for privatization of services and issues concerning agency
- 2 -
competition with the private sector and determine whether privatization would be feasible and would
result in cost savings and ways to eliminate any unfair competition;
(c) recommend privatization to the agency head when the proposed privatization is
demonstrated to provide a more cost efficient and effective manner of providing existing
governmental services; [and]
(d) comply with the provisions of Title 63, Chapter 46a, the Utah Administrative
Rulemaking Act, in making rules establishing privatization standards, procedures, and
requirements[.];
(e) maintain communication with and access information from, other entities promoting
privatization;
(f) prepare an annual report that contains:
(i) information about the board's activities; and
(ii) recommendations on privatizing government services; and
(g) submit the annual report to the Legislature and the governor.
(2) In addition to filing copies of its recommendations for privatization with the relevant
agency head, the board shall file copies of its recommendations for privatization with:
(a) the governor's office; and
(b) the Office of Legislative Fiscal Analyst for submission to the relevant Legislative
Appropriation Subcommittee.
(3) (a) The board may appoint advisory groups to conduct studies, research, analyses, and
make reports and recommendations with respect to subjects or matters within the jurisdiction of the
board.
(b) At least one member of the board shall serve on each advisory group.
(4) This chapter does not preclude any agency from privatizing any service or function
independently of the board if:
(a) the contract is expending less than $2,000,000 of the agency budget in a fiscal year;
(b) as part of the contract that privatizes the function, the contractor assumes all liability to
perform the privatizated function; and
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(c) the agency notifies the board at least 120 days before the privatization occurs of their
intent to privatize the function.
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