2016 Legislative Scorecard

Legislative Scorecard As Utah’s business leader, we stand as the voice of business, we support our members’ success and we champion community prosperity.

2016

Fellow Utahns, The 2016 legislative session was truly remarkable. In more than a decade, no other session has generated such a level of engagement within our business community.

Many difficult decisions were made this year. Whether it was a challenging, but ultimately constructive discussion on non-compete legislation, having the foresight to lead with data and planning before significant investments in water infrastructure, or supporting nearly half-a-billion dollars in new funding to educate Utah’s future workforce, one thing is clear: business played a key role to help our state choose a path that leads to community prosperity.

This scorecard documents the key votes, top issues and legislative “Business Champions”.

As we reflect on the 2016 legislative session, it is evident that your involvement and trust in the Chamber’s leadership ensured that the Voice of Business was heard loudly on Utah’s Capitol Hill.

It is vital that this type of engagement continue if we are to retain Utah’s ranking as the “best state for business.”

Sincerely,

Lane Beattie President and CEO

Lori Chillingworth Chair

U N L E A S H I N G U TA H ’ S E C O N O M I C P O T E N T I A L

Advancing the business community’s five-year plan to elevate our education system to remain globally competitive.

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Strategically invested $440 million in new funding for Utah’s future workforce. This marks more than $2 billion in new money for education over the past 6 years.

Commitment from Legislature to look at increased long-term, stable, education funding to further elevate our educational outcomes.

Enacted key initiatives to promote innovative public-private partnerships to support school readiness and success for at risk students.

Enacted key initiatives to strategically develop and align Utah’s workforce.

Ensuring Utah remains the top-performing economy and best state for business.

Led the effort to prevent a ban on non-compete agreements and facilitate a communal solution.

Reduced taxes on key industries that will spur investment and innovation.

Ensured data and planning will come first on long-term infrastructure and transformational investments.

Advanced significant reforms to address our state’s critical homelessness issue and expanding access to health care.

Utah’s Voice of Business Senate turns ‘non-compete’ bill on its head “The Salt Lake Chamber and other business interests had fought hard against HB251, arguing that non-compete clauses are important to protect many companies and their secrets.”

– Salt Lake Tribune

Fight Over Non-Compete Contracts Flaring Up in Legislature's Final Days “The Salt Lake Chamber – which finds itself in the middle of the battle -- sent out a mass email earlier this week saying the bill has quickly become the major issue for the leading business group.”

– UtahPolicy.com

Employee non-compete bill stirs hornet's nest in Utah business community “Salt Lake Chamber president Lane Beattie said no other issue has generated such a level of concern within the business community in his 12 years on the job.”

– Deseret News

Fight expands over half-billion dollars from transportation fund “Abby Albrecht, representing the Salt Lake Chamber and the Utah Transportation Coalition, did not directly oppose Anderson's bill, she reminded lawmakers ‘we still have a lot of work to do to address the long-term needs of transportation.’"

– Salt Lake Tribune

Diverse group urges lawmakers to expand Medicaid “’A healthy workforce is necessary for a stable economy,’ Jason Mathis executive vice president of the Salt Lake Chamber, said, adding that the business community could benefit from even homeless Utahns having access to proper care, including mental and behavioral health services.”

– KSL.com

Job 1 for legislators: Educate Utah's children “Joining them are organizations such as United Way of Salt Lake, Prosperity 2020, Education First and the Salt Lake Chamber, which point to early childhood education as playing a critical role in improving reading and math scores for minority and at-risk children.”

– Deseret News

Key Highlights of the 2016 Legislative Session: Business Climate, Taxes & Regulation HCR 1 - Concurrent Resolution on Waters of the United States Supports the Chamber's opposition to the federal overreach in regulating the nation's waterways.

SCR 2 - Concurrent Resolution in Support of Sales and Use Tax Transactional Equity Conveys the Chamber's support for federal action on the collection of remote sales and use taxes.

HB 61 - Corporate Franchise and Income Tax Changes Incentivizes potentially 1,200 jobs and $25 million in state tax revenues by 2020 through computer and electronic product manufacturing.

HB 103 - Department of Administrative Services Amendments Begins efforts to modernize Utah's rules platform: rules.utah.gov

Economic Development, Entrepreneurship & Innovation HB 318 - Point of the Mountain Development Commission Act Establishes a commission and $800,000 to build strategic development decisions through disciplined planning.

SB 166 - Utah Science, Technology, and Research Modifications Enhances USTAR's role as a critical component to promote entrepreneurship, innovation and economic growth.

SB 171 - Economic Development Tax Credits Amendments Provides critically needed resources to drive economic development in rural Utah through enhanced infrastructure investments.

SB 246 - Funding for Infrastructure Revisions Allocates $53 million over two-years to fund construction of a thru-port that provides direct access to international markets.

Education, Workforce & Health Care HB 56 - Women in the Economy Commission Amendments Extends the Commission to further study how the state should act to address issues relating to women in the economy.

HB 436 - Housing and Homeless Reform Initiative Funds facilities, services, housing and long-term strategies to address homelessness.

HB 437 - Health Care Revisions Provides Medicaid coverage for individuals in the lowest income brackets, balancing the financial resources of the state with the needs of Utahns.

SB 103 Substitute - Strategic Workforce Investments Invests strategically in workforce development through a stackable credentials program such as the Utah Aerospace Pathways program. *The Salt Lake Chamber, through Prosperity 2020, championed a number of education bills advancing the business community’s five-year plan to make Utah a top-10 state in education. For a full list, visit: www.prosperity2020.com

Infrastructure & Transportation HB 183 - County Option Sales and Use Tax for Highways and Public Transit Amendments Alters the local option funding allocation identified in HB 362 (2015) by providing flexibility for five rural counties that have small bus systems.

HB 369 Substitute - Electronic Device Location Data Amendments Allows a government entity to collect anonymous electronic data that will drive innovation.

SB 80 - Infrastructure Funding Amendments Represents a balancing of priorities needed to prepare for a doubling of the state’s population in the coming decades.

SB 177 - Nighttime Highway Construction Noise Amendments Streamlines construction by allowing nighttime highway construction in consultation with local stakeholders.

SB 257 - Public-Private Partnership Amendments (Interim Study) Allows for the study of performance-based infrastructure in the State of Utah.

Natural Resources & Environment HCR 5 - Concurrent Resolution Recognizing the 100-year Anniversary of our National Parks Utah’s national and state parks attract millions of visitors annually and contribute to urban and rural economies.

HB 52 - Office of Outdoor Recreation Amendments Provides a one-time appropriation for $1 million to partner with local governments to build recreation infrastructure.

HB 130 - Electric Vehicle Infrastructure Amendments Enacts provisions related to an assessment for electric vehicle charging infrastructure.

SB 115 - Sustainable Transportation and Energy Plan Act Modifies oversight of Rocky Mountain Power, restructures electrical rates and provides funding for multiple renewable energy issues.

(The Salt Lake Chamber was neutral on this legislation.)

SB 186 - Air Quality Incentives Provides financial assistance for expenses related to the purchase and installation of best available control technology for air quality in a nonattainment area.

SALT LAKE CHAMBER

PRIORITY VOTE During the legislative session the Salt Lake Chamber Executive Board designates top priorities of the business community to be considered as “priority votes.”

45

number of days for the legislative session

TWENTYNINE average number of days between introduction and the final floor vote.

824 bills introduced and numbered

THREEHUNDRED FIFTEEN bills monitored by Salt Lake Chamber staff

16

bills prioritized by Salt Lake Chamber Executive Board as priority votes

EIGHTYSEVEN PERCENT

Passage rate of Priority Bills

S U C C E S S F U L P R I O R I T Y B I L L S (Page references are for the 2016 Public Policy Guide) HB 52 Office of Outdoor Recreation Amendments Provides a one-time appropriation of $1 million to partner with local governments to build recreation infrastructure and invest in Utah’s Life Elevated brand. Policy Guide Accomplishment: Statewide recreation plan (pg. 23) HB 61 Corporate Franchise and Income Tax Changes Incentivizes and encourages investment by high wage, export-oriented companies that have the option of locating in any state. Policy Guide Accomplishment: Homeless services (pg. 11) HB 96 Single Sign-on Business Database Simplifies the access to and coordination of state registrations, certifications, taxes and reports for small business. Policy Guide Accomplishment: Improving the best state for business (pg. 6) HB 328 Housing and Homeless Amendments Finds systemic and collaborative solutions to ensure that services provided to the homeless by state agencies, local governments and private organizations are provided in a cost-effective manner and maximizes state funds.

Policy Guide Accomplishment: Data-driven policy | Homeless services (pg. 11) HB 436 Housing and Homeless Reform Initiative Funds the facilities, services, housing and long-term strategies to address homelessness.

Policy Guide Accomplishment: Homeless services (pg. 11) HB 437 Health Care Revisions Provides Medicaid coverage for individuals in the lowest income brackets, balancing the financial resources of the state with the needs of Utahns. Policy Guide Accomplishment: Medicaid expansion (pg. 15) SB 51 Teacher Leader Role Creates the role of Teacher Leader, which will utilize experienced teachers to mentor newly hired teachers.

Policy Guide Accomplishment: Improving instruction (pg. 13) SB 67 Partnerships for Student Success Seeks to improve educational outcomes for low income students through the formation of cross-sector partnerships that use data to align and improve efforts focused on student success. Replicates the success of the Roy Cone to more school districts.

Policy Guide Accomplishment: Innovation, accountability and investment (pg. 13) SB 101 High Quality School Readiness Program Expansion Creates a grant to expand access to School Readiness Programs for eligible students, particularly among Utah’s low income families Policy Guide Accomplishment: Reading comprehension | Pre-K-3 targeted reading (pg.13) SB 102 High Cost Infrastructure Tax Credit Amendments Supports rural economic development efforts that advance infrastructure investment and grow export opportunities. Policy Guide Accomplishment: Rural infrastructure (pg. 19) SB 103 Strategic Workforce Investments Supports innovative efforts to strategically align the private and public sectors to attract and train a skilled and talented workforce. Policy Guide Accomplishment: Workforce alignment (pg. 15) SB 109 School and Institutional Trust Lands Amendments Initiative to amend language governing revenues from institutional trust lands and their distribution to public schools. Companion bill to SJR 12. Policy Guide Accomplishment: Innovation, accountability and investment (pg. 13) SB 251 Water Infrastructure Funding Amendments Strengthens resources for policymakers and the public to establish criteria for better water data and data reporting, new conservation targets, independent verification of water data and a proposed project, invites public involvement, and sets appropriate financing and repayment terms.

Policy Guide Accomplishment: Data-driven policy (pg. 11) | State water strategy (pg. 19) | Water conservation (pg. 22) SJR 12 Proposal to Amend Utah Constitution - Changes to School Funds If approved by voters at the next general election – will increase and stabilize distributions from the permanent State School Fund through the School LAND Trust program. Companion bill to SB 109.

Policy Guide Accomplishment: Innovation, accountability and investment (pg. 13) Notable Legislation: Failed Priority Bills: SCR 13 Concurrent Resolution Honoring Randy Horiuchi Provides a fitting resolution to honor HB 28 Grants for Educator Professional Learning the life of Randy Horiuchi. He was a champion of business and civic engagement, who provided a HB 42 Optional Enhanced Kindergarten Ammendments lifetime of dedication to his state.

HB 251 Post-employment Restrictions Amendments Bill originated as complete ban on non-compete agreements. Through the Chamber’s efforts, the bill was modified to safeguard employers and employees by limiting non-compete agreements to one-year, and adopting an anti-abuses remedies regime, while preserving all other uses.

Business Champions The Legislature plays a key role in preserving Utah’s pro-business climate.

We recognize the 2016 Business Champions representing more than 88 percent of the Legislature.

House

Senate

66/75 (88%)

Rep. Johnny Anderson Rep. Patrice Arent Rep. Stewart Barlow Rep. Rebecca Chavez-Houck Rep. Scott Chew Rep. LaVar Christensen Rep. Kay Christofferson Rep. Fred Cox Rep. Rich Cunningham Rep. Bruce Cutler Rep. Brad Daw Rep. Brad Dee Rep. Sophia DiCaro Rep. Jack Draxler Rep. Susan Duckworth Rep. James Dunnigan Rep. Rebecca Edwards Rep. Steve Eliason Rep. Justin Fawson Rep. Gage Froerer Rep. Francis Gibson Rep. Keith Grover Rep. Craig Hall Rep. Stephen Handy Rep. Timothy Hawkes Rep. Lynn Hemingway Rep. Sandra Hollins Rep. Gregory Hughes Rep. Eric Hutchings Rep. Don Ipson Rep. Brad King Rep. Brian King Rep. John Knotwell Rep. Bradly Last

26/29 (89%)

Rep. David Lifferth Rep, Kay Mclff Rep. Mike McKell Rep. Carol Moss Rep. Merrill Nelson Rep. Michael Noel Rep. Curtis Oda Rep. Derrin Owens Rep. Lee Perry Rep. Jeremy Peterson Rep. Val Peterson Rep. Dixon Pitcher Rep. Marie Poulson Rep. Kraig Powell Rep. Paul Ray Rep. Edward Redd Rep. Angela Romero Rep. Douglas Sagers Rep. Scott Sandall Rep. Dean Sanpei Rep. Mike Schultz Rep. Lowry Snow Rep. Robert Spendlove Rep. Jon Stanard Rep. Kevin Stratton Rep. Earl Tanner Rep. Norm Thurston Rep. Raymond Ward Rep. Curt Webb Rep. John Westwood Rep. Mark Wheatley Rep. Brad Wilson

Sen. J. Stuart Adams Sen. Curtis Bramble Sen. Allen Christensen Sen. Jim Dabakis Sen. Gene Davis Sen. Luz Escamilla Sen. Lincoln Fillmore Sen. Wayne Harper Sen. Diedre Henderson Sen. Lyle Hillyard Sen. David Hinkins Sen. Jani Iwamoto Sen. Alvin Jackson Sen. Peter Knudson Sen. Karen Mayne Sen. Ann Milner Sen. Wayne Niederhauser Sen. Ralph Okerlund Sen. Brian Shiozawa Sen. Howard Stephenson Sen. Jerry Stevenson Sen. Daniel Thatcher Sen. Stephen Urquhart Sen. Kevin Van Tassell Sen. Evan Vickers Sen. Todd Weiler

*Legislators are graded on their vote on the final passage of the bill excluding concurrence votes.

While the Chamber does not endorse candidates, we recognize the value of these legislators’ support for Utah’s business community.

The Salt Lake Chamber is proud to present the inaugural “Legislator of the Year” award to Senator J. Stuart Adams.

As a true statesman, Senator Adams has displayed a sense of collaboration for reaching common ground on non-compete legislation. This led to the balanced outcome passed in HB 251.

Additionally, Senator Adams led an effort to address Utah’s future water needs, prioritizing planning and data while not impacting the monumental transportation funding efforts from last session.

Senator J. Stuart Adams deserves our utmost gratitude for his unrivaled leadership and partnership with Utah’s business community this session.

Civic Engagement Business leaders are concerned about declining civic engagement. We support the elections reform compromise reached with the Count My Vote initiative and Legislature in 2014 to give Utah voters more choices, convenience and accountability. It is a priority of the Board of Governors to actively participate in this year’s caucuses, signature gathering processes, primaries and the 2016 general election.

S E AT S U P F O R E L E C T I O N I N 2 0 1 6 : S TAT E O F U TA H EXECUTIVE BRANCH

LEGISLATURE House 75/75 (100%)

Senate 16/29 (55%)

Governor & Lt. Governor Attorney General State Treasurer State Auditor SEATS UP FOR ELECTION IN 2016: NATIONAL EXECUTIVE BRANCH President & Vice President

UTAH’S CONGRESSIONAL DELEGATION Senate 1/2 (50%) House 4/4 (100%)

GUIDE: = Seat up for election

As a matter of policy and principle, the Salt Lake Chamber focuses on discretion, transparency and community engagement. We encourage members of Utah’s business community to actively participate in the political process. The Salt Lake Chamber endorses policies that help to fulfill our mission, but our organization does not endorse political parties or individual political candidates, including financial contributions to political campaigns.

This year demonstrated the Chamber’s importance as a convener of business. Without its influence, our state’s premier business climate would look drastically different. It’s incumbent upon every member of the business community to support this critical institution.”

Chris Gamvroulas, President, Ivory Development Public Policy Chair, Salt Lake Chamber

www.slchamber.com 175 E. University Blvd. (400 S) #600 | Salt Lake City, Utah 84111 | 801.364.3631