March 2019

Utah Taxpayers Association - 2019 Legislative Scorecard

The Taxpayers Association annually releases a legislative scorecard ranking Utah’s legislators by their votes on the most important tax-related bills considered during the most recent legislative session. Out of 60 bills the Utah Taxpayers Association tracked during the 2019 Legislature, 14 tax-related bills were used in rating Utah’s 104 legislators. In the House, six bills supported by the Taxpayers Association received no dissenting votes, therefore, the lowest possible score for a Representative (unless there were absences) is 50%. In the Senate, seven bills supported by the Taxpayers Association passed without a dissenting vote, meaning the lowest possible Senator score (unless there were absences) is 54%.

Senate Summary House Summary The average score in the Senate is 82.2%, out of The average score in the House is 77.3%, out of the 13 votes scored. Only Sen. Curt Bramble the 12 votes scored. Three Representatives received a perfect 100% score. received a perfect 100% score: Reps. , , and Tim Hawkes. Sen. Todd Weiler was the second highest percentage with the Utah Taxpayers Association, Reps. and scored at 91.7%. 91.7%, the next highest.

Six senators will be receiving the “Friend of the Eleven representatives will be receiving the Taxpayer” award, with those voting no more than “Friend of the Taxpayer” award, with those voting once against the Taxpayers position. no more than once against the Taxpayers position. The lowest scoring Republican is Sen. Lyle Hillyard scoring 58.3%. The lowest scoring The lowest scoring Republican is Rep. Val Democrats are Sens. Karen Mayne and Jani Peterson at 63.6%. The lowest scoring Democrat Iwamoto at 75%. is , scoring 60%.

HB 441 While your Taxpayers Association has always supported expanding the base and lowering the rate, HB 441 (Quinn) sought to expand the sales tax to include business to business services in Utah. It contained harmful tax pyramiding and would have done irreparable harm to Utah’s #1 business climate from which it would have taken decades to recover.

With only 36 hours to read and understand the bill, which had been kept under wraps with only ten days left in the Session and mere minutes to even glance at the fiscal note, and in spite of the majority of the business community's overwhelming and convincing testimony against the bill, members of the House Revenue and Taxation Committee almost unanimously passed the bill out of committee and sent it to the House floor with only two members voting against it:

Nays (For Taxpayers): Yeas (Against Taxpayers): Ivory, Ken Andersen, Kyle Moss, Jeff Spendlove, Robert Pitcher, Stephanie Barlow, Stewart Quinn, Tim Stoddard, Andrew Briscoe, Joel Sagers, Doug Strong, Mark Eliason, Steve Shipp, Rex Thurston, Norm

Bills Included in the 2019 Legislative Scorecard HB 11 2nd Sub (Hawkes, Hemmert) - Creates an HB 185 (Owens, Okerlund) – Allows tax increment automatic review when a property valuation increases by financing to be used to build publicly-owned student housing more than 15%. Changes the burden of proof for property as part of the affordable housing requirement. The law tax appeals in favor or the taxpayer. Protects taxpayers from requires 10% tax increment financing to be used for wild swings in property value and the hassle of fighting targeted income housing. excessive valuations year after year. Approved by House 53-11-11. Approved by Senate 25-0-4. Approved by House 70-0-5. Approved by Senate 28-0-1. Association position: Oppose. Association position: Support HB 231 1 Sub (Lisonbee, McCay) - Raises the personal www.utahtaxpayers.orgproperty tax exemption from $10,000 to $15,000 and exempts personal property that is not critical to the business with a value of $150 or less. Eliminates the need to file an exemption after five consecutive years of filing under the *Those bills indicated in blue were high priority bills on theon 2019bills priority Watchlist.high were blue indicated in *Thosebills Taxpayers with % Absent Taxpayers Against Taxpayers With Lyle Hillyard, , Jani Iwamoto, Mayne,Karen Riebe,Kathleen Derek Kitchen, Davis,Gene Ann Millner, Keith Grover, Ipson,Don Hinkins,David Evan Vickers, Luz Escamilla, Anderegg,Jake Dan McCay, Jerry Stevenson, Deidre Henderson, Ron Winteron, Adams,Stuart Buxton,Gregg Okerlund,Ralph AllenChristensen, Wayne Harper, Dan Hemmert, DanThatcher, Kurt Cullimore, Lincoln Fillmore, Todd Weiler, Curt Bramble, AssociationPosition Taxpayers With % Absent Taxpayers Against Taxpayers With Stephanie Pitcher, King,Brian , Val Peterson, , , Jen Dailey-Provost, , , , Travis Seegmiller, , Quinn,Tim Gibson,Francis MikeSchultz, , , Lawanna Shurtliff, Calvin Musselman, DanJohnson, Ray Ward, , , Spendlove,Robert , Weight,Elizabeth , Duckworth,Sue Melissa Ballard, , Judkins,Marsha Hawkins,Jon Andersen,Kyle Steve Waldrip, , Lowry Snow, Doug Sagers, Handy,Steve , , Daw,Brad Adam Robertson, Owens,Derrin , Dunnigan,Jim , Ray,Paul , Hutchings,Eric Mike McKell, Kwan,Karen , Carol Moss, Stenquist,Jeff , Marc Roberts, Carl Albrecht, Shipp,Rex , , , MikeWinder, , , , Brad Last, Jeff Moss, PhilLyman, , Mark Strong, Pulsipher,Susan John Knotwell, TimHawkes, Kim Coleman, Thurston,Norm Association Position 26 22 20 24 19 14 12 10 23 16 40 28 46 59 26 32 24 55 14 62 69 54 65 12 23 25 10 19 29 48 49 31 36 22 20 44 61 57 43 74 21 16 56 47 60 63 58 45 39 68 13 11 38 66 34 35 37 51 27 67 70 72 53 30 33 17 15 71 73 75 41 50 52 18 42 64 25 17 18 15 29 27 28 13 11 21 4 5 8 2 3 1 7 6 9 3 9 4 6 7 8 5 1 2 District District of Utah House Representatives - Utah AssociationTaxpayers 2019 Legislative Scorecard D D D D D D D D D D D D D D D D D D D D D D R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R R Party Party 90% 93% 26 70 A A A A A A A A Y 5 0 Y 3 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 26, 3S Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y HB 11, 2S* 15% 86% 25 11 53 11 Utah Utah Senate - Utah AssociationTaxpayers 2019 Legislative Scorecard N N N N N N N N N N N N A A A A A A A A A A A A A A A 4 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 56, 1S Y HB 185 100% 97% 29 72 A A A Y 0 0 Y 3 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 91 Y HB 231, 1S* 72% 27% 21 54 20 N N N N N N N N N N N N N N N N N N N N N N N A A A A A A A 6 2 Y 1 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 99* Y HB252* 93% 0% 24 70 N A A A A A A A A A A Y 5 0 5 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 129, 3S Y SB 26, 3S 90% 91% 26 68 A A A A A A A A A A Y 3 0 Y 7 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 168, 3S Y SB 56, 1S 90% 96% 26 72 N A A A A A Y 2 1 Y 3 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 179, 3S* SB 91 100% 3% 29 65 N N N A A A A A A A A 0 0 Y 8 2 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 214, 1S Y SB 129, 3S 83% 79% 24 59 N N N N N N N N N A A A A A A A A A A A A Y 3 2 Y 9 7 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SB 263* Y SB 168, 3S 72% 96% 21 72 N N N N N N N N A A A Y 0 8 Y 3 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y SJR 3, 3S* Y SB 179, 3S* 97% 87% 28 65 N N N N N N A A A A A Y 1 0 Y 4 6 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y HB 11, 2S* SB 214, 1S 86% 83% 25 62 N N N N N N A A A A A A A A A A A A Y 4 0 8 5 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y HB 185 Y SB 263* 100.0% 100.0% 100.0% 81.8% 81.8% 83.3% 83.3% 83.3% 83.3% 83.3% 83.3% 83.3% 83.3% 85.7% 87.5% 90.0% 90.0% 90.9% 90.9% 91.7% 91.7% 60.0% 63.6% 63.6% 63.6% 66.7% 66.7% 66.7% 66.7% 66.7% 66.7% 70.0% 70.0% 70.0% 70.0% 70.0% 72.7% 72.7% 72.7% 72.7% 72.7% 72.7% 72.7% 72.7% 72.7% 72.7% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 77.8% 77.8% 80.0% 80.0% 80.0% 81.8% 81.8% 81.8% 81.8% Score Final Final 90% 26 A A A Y 3 0 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y HB 231, 1S* Ranking 100.0% 58.3% 66.7% 75.0% 75.0% 76.9% 76.9% 76.9% 76.9% 80.0% 80.0% 81.8% 81.8% 83.3% 83.3% 83.3% 83.3% 83.3% 84.6% 84.6% 84.6% 84.6% 84.6% 84.6% 88.9% 90.0% 90.9% 90.9% 91.7% Score Final 20 20 12 12 12 12 12 12 12 12 11 10 75 72 72 72 66 66 66 66 66 66 61 61 61 61 61 51 51 51 51 51 51 51 51 51 51 31 31 31 31 31 31 31 31 31 31 31 31 31 31 31 31 31 31 31 31 29 29 26 26 26 20 20 20 20 8 8 6 6 4 4 1 1 1 Ranking Ranking 5-Year 81.8% 95.2% 82.6% 83.3% 83.3% 83.3% 84.2% 84.9% 85.0% 87.9% 86.9% 85.0% 90.0% 90.0% 87.5% 90.9% 90.5% 91.5% 90.9% 92.4% 98.8% 60.0% 63.8% 68.6% 83.9% 63.1% 66.7% 66.7% 75.0% 79.4% 81.1% 74.3% 75.8% 81.0% 82.2% 83.0% 68.1% 68.5% 72.7% 72.7% 72.7% 73.2% 77.9% 84.8% 85.5% 88.9% 67.2% 68.6% 73.4% 75.0% 75.0% 75.0% 75.0% 75.0% 75.0% 78.2% 80.5% 82.3% 83.1% 83.2% 83.7% 84.2% 84.6% 84.7% 89.2% 89.8% 77.6% 88.2% 78.0% 83.5% 84.4% 66.3% 69.1% 69.4% 81.8% 29 28 26 26 22 22 22 22 20 20 18 18 13 13 13 13 13 7 7 7 7 7 7 6 5 3 3 2 1 Ranking Average 5-Year 80.3% 66.7% 81.1% 83.3% 76.9% 76.9% 79.8% 82.6% 80.0% 82.5% 87.1% 88.3% 80.2% 82.7% 83.3% 84.1% 93.5% 84.6% 85.0% 85.6% 87.1% 87.9% 88.2% 88.0% 89.2% 90.9% 92.9% 87.7% 91.1% 5-Year 39 36 30 30 30 26 20 19 14 16 18 15 75 73 65 27 74 70 70 56 44 41 57 49 42 38 35 68 67 60 60 60 59 47 21 17 12 69 66 58 50 50 50 50 50 50 45 43 37 34 33 28 25 23 22 11 10 48 13 46 29 24 72 64 63 39 2 9 8 5 7 4 6 3 1 Ranking 5-Year 23 29 22 18 27 27 26 20 25 21 11 24 19 17 16 15 14 13 12 10 6 1 9 7 8 5 4 2 3 Bills Selected for the 2019 Legislative Scorecard (Cont.)

HB 231 1st Sub (Lisonbee, McCay) - Raises the personal SB 129 (Harper, Perry) – Mandates an increase in Tier 2 property tax exemption from $10,000 to $15,000 and retirement contributions for public safety officers and exempts personal property that is not critical to the firefighters from 12% to 16% of salary, with the employee business with a value of $150 or less. Eliminates the need covering half of that increased contribution. It also raises to file an exemption after five consecutive years of filing the yearly accrual of those employees from 1.5% per year under the threshold. to 2.0% per year. This will result in a burden of over $10 Approved by House 72-0-3. Approved by Senate 26-0-3. million each year to local governments after approximately Association position: Support 10 years and that obligation is projected to grow 13% per year. HB 252 (Ray, Christensen) - HB 252 would implement a Approved by Senate 24-0-5. Approved by House 65-2-8. tax of 86% of the purchase price of electronic cigarettes Association position: Oppose and related products. The Utah Taxpayers Association has always opposed government using taxation to seek to SB 168 3rd Sub (Bramble, Hawkins) - Following the affect social behavior. Regardless of what is being taxed, Wayfair decision and Utah’s efforts to collect remote sales taxing behavior is a slippery slope that should be avoided. taxes, SB 168 broadens the definition of “seller” to include Approved by House 54-20-1. Not considered by the affiliate sellers. This evens the playing field between Senate. Association position: Oppose traditional retailers and those that sell exclusively online located outside of the state. SB 26 3rd Sub (Henderson, Hall) - Following audits of Approved by Senate 26-0-3. Approved by House 59-7-9. governmental nonprofit organizations, such as the Utah Association position: Support Communications Authority and the Utah Transit Authority, SB 26 requires the state auditor’s office to provide financial SB 179 (Fillmore, Spendlove) - Prohibits taxing entities management trainings, and places penalties if board which are proposing property taxes increases from limiting members of a government nonprofit do not participate in public comment during a Truth in Taxation hearing. the training. Protecting the Truth in Taxation process and allowing for Approved by Senate 26-0-3. Approved by House 70-0-5. full public comment is important in keeping Utah’s overall Association position: Support property tax burden low. Approved by Senate 26-1-2. Approved by House 72-0-3. SB 56 1st Sub (Henderson, Moss, J.) - Brings greater Association position: Support transparency to tax increment financing of community reinvestment areas (CRAs), formerly known as SB 214 1st Sub (Fillmore, Robertson) - Requires that redevelopment areas. The Governor’s Office of Economic water districts report to the Revenue and Taxation Interim Development is now required to create a public database Committee how much each receives in revenue from the that shows information about all CRAs across the state, following sources: property taxes, water fees, and other. including revenue and assessed value. Salt Lake County This brings greater accountability to water districts in order led the way in this effort by developing a user-friendly map to move away from subsidizing water using the property that easily allows taxpayers to view many details, including tax. revenue and assessed value of CRAs within the county. Approved by Senate 29-0-0. Approved by House 65-6-4. Approved by Senate 25-0-4. Approved by House 68-0-7. Association position: Support Association position: Support SB 263 (Weiler, Hawkes) - Creates a statewide standard SB 91 (Millner, Moss, J.) – Requires institutions of higher that matches the federal definition when a county is education to recognize and accept completion of determining whether an educational institution meets the competency-based education programs for purposes of requirements to receive a property tax exemption. admissions, scholarships, and financial aid. This is part of Currently, there is no standard that all counties apply, the Utah Taxpayers Association’s Utah 2.0 workforce which creates confusion for county assessors and nonprofit alignment initiative. institutions. Approved by Senate 29-0-0. Approved by House 72-0-3. Approved by Senate 24-2-3. Approved by House 62-5-8. Association position: Support Association position: Support

SB 99 (Harper, Eliason) - Attempted to lower the sales tax SJR 3 3rd Sub (McCay, Stratton) - Would have expanded rate to 4.45% from 4.7%, following the promise made by the allowable use of state income taxes beyond public and the Legislature that if remote sales taxes were to be higher education to include services to the elderly, indigent, collected by the state, the revenue should be offset with tax and other groups. cuts. Tax cuts related to this and sales tax base expansion Approved by Senate 21-8-0. Not considered by House. are expected to be dealt with in an upcoming special Association position: Support session. Approved by Senate 21-2-6. Not considered by House. Association position: Support

Notes • Floor vote on HB 252 was only taken in the House therefore it is only included on the House scorecard. • Floor votes on SB 99 and SJR 3 were only taken in the Senate, therefore it is only included on the Senate scorecard.