SALT LAKE CHAMBER’S
2018
LEGISLATIVE RECAP
DEAR BUSINESS COMMUNITY, The collective abilities of Utah’s elected officials to carefully plan for the future and find solutions to our state’s most pressing challenges are amplified by the commitment and engagement of the business community. It is no surprise that our economy remains one of the best in the nation, due, in part, to the collaboration between business and elected leaders. Thanks to your involvement and trust, the Salt Lake Chamber’s leadership in advancing pro-business policies was felt strongly on Capitol Hill during the 2018 Legislative Session. This is evident by the passage of nearly 90 percent of our priority legislation. This document reviews the Chamber’s most significant legislative wins and the many people who made them happen, including our 2018 Business Champions who make up 76 percent of the Legislature. Rebalancing Utah’s tax structure to enhance education funding, transforming the governance and funding of our multi-modal transportation system, building a talented workforce, and taking steps to address our state’s housing affordability crisis along with tackling many other issues, made this one of the most productive and successful legislative sessions in recent history. These successes will set Utah on a path to continued economic prosperity for years to come. We commend the Legislature for a monumental session and invite the business community to stay engaged as we work together to ensure Utah remains the best state for business. Sincerely,
Lane Beattie
Former President & CEO
Derek Miller
President & CEO
Wilford Clyde Board Chair
STAND AS THE VOICE OF BUSINESS SUPPORT OUR MEMBERS’ SUCCESS CHAMPION COMMUNITY PROSPERITY
ABOUT THE SALT LAKE CHAMBER The Salt Lake Chamber is Utah’s largest and longest-standing business association. A statewide chamber of commerce with members in all 29 Utah counties, the Chamber represents the broad interests of the state’s 63,000-plus employers, which employ more than 1.4 million Utahns. This includes thousands of Chamber members and their employees. Established in 1887, the Chamber has become widely known as Utah’s Business Leader, applying the expertise and experience of its members to major issues facing the Beehive State. Through research and advocacy on local, state and federal levels, the Chamber stands as the voice of business, supports its members’ success and champions community prosperity. From Congress and the Governor’s office, to legislative committee rooms and city halls across the state, the Chamber works to promote a pro-growth, business-focused agenda.
UTAH’S ECONOMY IS AMONG THE MOST DIVERSE IN THE NATION
1,400,000 JOBS IN UTAH’S ECONOMY
63,000 EMPLOYERS 8,000
BUSINESSES REPRESENTED IN ALL 29 COUNTIES
74 LOCAL CHAMBERS OF COMMERCE COLLABORATE TO ADVOCATE FOR UTAH’S BUSINESS COMMUNITY IN ALL 29 COUNTIES
SALT LAKE CHAMBER’S PUBLIC POLICY EFFORTS
About the Top 10 Legislative Priorities This year, the Salt Lake Chamber took a new approach to its guiding public policy document to make it more focused, intentional and specific. This new approach centered on our 2018 Top 10 Legislative Priorities and specific legislative actions to address them. With hundreds of bills debated every session, our intent with this new format was to make the document more direct, so legislators know where the business community stands. We are the Voice of Business Through research and advocacy on local, state and federal levels, the Salt Lake Chamber stands as the voice of business, supports its members’ success and champions community prosperity. We Stand on Principle As Utah’s Business Leader, there are thousands of issues of importance to our economy and business community. The Top 10 Legislative Priorities serves as the Salt Lake Chamber’s policy agenda during the general legislative session, and is complemented by a principles-based guiding document to steer our public policy work. We Mitigate Policy and Regulatory Risks Each year, legislation presents unique risks to business interests and the economy at large. The Salt Lake Chamber protects business interests and advances key priorities during one of the nation’s shortest legislative sessions. We are an Effective Advocate With so many competing interests, it is critical that the business community has a strong voice on Utah’s Capitol Hill. On key Priority Votes, 76 percent of the Legislature voted with the Salt Lake Chamber’s position 80 percent of the time.
2018 LEGISLATIVE SESSION BY THE NUMBERS
7 200 22 90% 43 11 83% 150
WEEKLY “38-15-1” UPDATES TO MEMBERSHIP BILLS TRACKED PRIORITY VOTES
21 SUPPORT 1 OPPOSE
SUCCESS RATE OF PRIORITY VOTES BILLS SUPPORTED AND PASSED BILLS OPPOSED AND DEFEATED SUCCESS RATE OF POSITION BILLS MEDIA MENTIONS
1,100
ATTENDEES TO 2018 UTAH ECONOMIC OUTLOOK & PUBLIC POLICY SUMMIT
SUCCESS OF THE CHAMBER’S TOP 10 LEGISLATIVE PRIORITIES Modernizing Utah’s Tax Code: Driving a Multi-Pronged Legislative Compromise
One of the greatest successes of the session was the compromise between Our Schools Now and the Legislature. This compromise materialized in the form of three bills that when combined, represent a comprehensive package that addresses education, tax modernization and infrastructure investment. Tax changes from this compromise package include freezing the basic levy property tax, reducing the personal and corporate tax rates and reforming the state’s corporate tax formula to a single-sales factor. In all, these actions will significantly increase education funding.
Education Funding
Through the support of many critical stakeholders, education funding equalization was addressed and the question of a 10-cent gas tax to increase education funding will be issued this fall. With the support of the public, in addition to the tax rebalancing changes, it is expected that $600 million of new money will be placed into education over the next 5 years.
Air Quality
This year, the Chamber adopted Envision Utah’s goal to reduce emissions 40 percent by 2050. This legislative session, important steps were taken to achieve this goal by opening up state transportation funds to include transit projects, a diesel emissions testing program in Utah County and increased funding to the Division of Air Quality to continue the critical testing and research that will ensure Utah meets all federal air quality standards.
Economic Development
The Chamber supported the advancement of signature economic development opportunities such as the Inland Port and Point of the Mountain developments, merging Utah’s metro-statistical areas and enhancing the state’s broadband access to ensure Utah’s long-term prosperity.
Transportation
The 2018 Legislative Session was tremendous for transportation and the Chamber was on the forefront of passing legislation that transforms the way Utah’s transportation system is governed and funded. This legislation focused on investing in multi-modal transportation and requires land use and economic development to be considered in UDOT’s project prioritization criteria. It also includes significant reforms to the Utah Transit Authority to incorporate greater state oversight and enhance accountability and transparency.
Housing Affordability
Addressing Utah’s housing affordability crisis has become an economic imperative. For the first time in 40 years, Utah has more households than available housing units. In addition, one in eight Utah homeowners are severely cost burdened, paying 50 percent or more of their income on housing. To curb this problem, the Chamber was critical in helping pass legislation that requires counties and municipalities to incorporate moderate-income housing growth in their general plans, and modifies reporting requirements to improve accountability.
Regulation Reform
The Chamber played a significant part in the state’s first year of comprehensive regulatory reform and analysis. The Chamber team looked over each bill in the session, assessed whether the legislation made any regulatory impact on businesses and/or individuals, and provided input to the Office of Legislative Fiscal Analyst. This yearly process ensures Utah’s businesses function in the most optimal climate possible.
Finding Balance: Supporting Families and Business
This year’s successful reforms to allow reciprocity for occupational licensing for military spouses, as well as a newly formed Early Childhood Commission, will improve Utah’s ability to balance the needs of families and businesses. Families are important actors in our economy, as such, efforts to incentivize access to Paid Family Leave were made, but didn’t receive the necessary appropriation. While mandates disrupt the market, these structural changes and incentive-based programs enable positive change.
Homeless and Medicaid Expansion
This year, the Chamber supported and helped to pass legislation that assists in the planning and funding for facilities, services, housing and employment as part of a long-term strategy to address and prevent homelessness. The Legislature also passed a Medicaid expansion bill of which the Chamber was extremely supportive. Upon the granting of the federal waiver, those making below the poverty level will receive health care coverage. The Medicaid expansion bill also includes a work and self-sufficiency requirement for recipients.
Alcohol Legislation
The Chamber has been a proponent for a balanced approach to modernizing Utah’s alcohol regulations through protecting public safety, and reinforcing a welcoming and hospitable climate for tourism and business recruitment efforts. During this session, refinements were made to the 2017 alcohol bill, adjusting business signage, easing barriers in limited spaces like small restaurants, and modifying licensing restrictions in the Salt Lake City International Airport and Vivint Smart Home Arena.
LOOKING AHEAD: TOP BUSINESS ISSUES TO WATCH IN THE YEAR AHEAD Gas Taxes on the Ballot for Education
One of the greatest successes of the session was the compromise between Our Schools Now and the Legislature. Utahns will vote this November as to whether the state should provide additional public education and local roads funding through state motor and special fuel tax rates, equivalent to 10 cents per gallon. If passed, the investment in Utah’s education system will increase by $600 million over the next five years. The passage of this ballot question is critical to the business community as it ensures both transportation and education funds that will sustain Utah’s long-term economic prosperity.
Modernizing Utah’s Sales Tax Base
Ensuring Utah’s tax code is up to date is the most critical issue facing the Utah Legislature. The Chamber weighed in and helped modify Utah’s corporate tax, income tax and property tax codes. As businesses voice their tax code concerns to state legislators, Utah will continue to be an economically vibrant place where businesses can flourish and expand. Businesses should support broadening the sales tax base to ensure top economic prosperity.
Housing Affordability
Increased housing prices and housing cost burdens, along with unprecedented housing demand, threaten Utah’s residential viability and economic competitiveness. The Housing GAP Coalition, built with the state’s brightest minds from business, academia and government, positions itself to tackle this very real threat to our long-term economic prosperity. Businesses should be aware of their part in this housing affordability crisis and look for creative solutions to mediate this problem.
Economic Development Incentives and Opportunities
Utah’s continued economic success does not mean we can rest on our laurels. With the business community leading out, the state must collaborate and focus on the primary reasons our economy is thriving and find ways to produce even greater results. This includes improving incentive programs, advancing signature projects, increasing our state’s competitiveness for regional and national corporate headquarters and enhancing economic development opportunities in northern Utah.
Protecting Utah’s Pro-Business Climate
Utah garners national praise for our pro-business climate and must continue to ensure our regulatory structure is updated to keep up with leader states. Every state is subject to many of the same federal regulations, so fully implementing state-level regulatory reform is critical to ensuring Utah remains a great and competitive place for business. The business community should continue to stress the importance of more innovation in lieu of regulation and support efforts to analyze the impact state regulation has on their business.
2018 BUSINESS CHAMPIONS The Legislature plays a key role in preserving Utah’s pro-business climate, investing in our future and enhancing our quality of life. The Salt Lake Chamber honors legislators who support a pro-economy and pro-business agenda with the title of “Business Champion.” The designation of Business Champion is directly tied to a legislator’s voting record on Salt Lake Chamber “Priority Votes.” This year, 79 legislators received the award for voting at least 80 percent of the time with the Chamber’s position on 22 Priority Votes. True to our non-partisan, but politically engaged approach, members of both parties in both legislative chambers met this requirement. What is a Priority Vote? During the legislative session, the Salt Lake Chamber’s Executive Board designates the top priorities of the business community as “Priority Votes.” Unlike other organizations that establish some criteria after a session to evaluate legislators, these issues are covered within the Top 10 Legislative Priorities. Priority Votes are traditionally reserved to 20 or fewer pieces of critical legislation.
80
%
VOTING RECORD NEEDED TO RECEIVE AWARD
72
%
OF THE HOUSE OF REPRESENTATIVES
86
%
OF THE SENATE
THE SALT LAKE CHAMBER IS PROUD TO PRESENT THE 2018 LEGISLATOR OF THE YEAR AWARD
SENATOR ANN MILLNER As a distinguished educator and renowned leader in higher education, Senator Millner has a deep understanding of the important connection between a robust education system, skilled workforce and economic development. As such, she became the focal point of many of the business community’s top priorities during the 2018 Legislative Session and a true champion for addressing critical workforce needs through innovative programs and partnerships. Some of her legislative efforts this session included strategically aligning the private and public sectors to attract and train a skilled workforce through funding and expansion of the Talent Ready Utah initiative, increasing stackable credentials to help students connect their schooling with high-wage, high-demand jobs, enhancing the state’s early literacy program, and a new talent development and retention loan forgiveness program to ensure our best and brightest stay and work in Utah after graduation. Senator Millner is the chair of the Senate Education Committee and also sits on the Public Education and Higher Education Appropriations Subcommittees, the Senate Rules Committee and the Senate Economic Development and Workforce Services Committee, among others. She is an articulate, passionate, collaborative leader who supports smart data-driven policy and creative approaches to education and workforce development. She has championed the role of industry involvement in education and remains an integral ally of the Chamber in advancing key legislation. For these and many other reasons, the Salt Lake Chamber is pleased to award Senator Millner the 2018 Legislator of the Year.
SENATE
HOUSE
25/29 (86%)
54/75 (72%)
Rep. Carl Albrecht Rep. Patrice Arent Rep. Walt Brooks Rep. Rebecca Chavez-Houck Rep. LaVar Christensen Rep. Kay Christofferson Rep. Bruce Cutler Rep. Brad Daw Rep. Susan Duckworth Rep. Jim Dunnigan Rep. Steve Eliason Rep. Gage Froerer Rep. Francis Gibson Rep. Keith Grover Rep. Craig Hall Rep. Steve Handy Rep. Tim Hawkes Rep. Sandra Hollins Speaker Greg Hughes Rep. Eric Hutchings Rep. Mike Kennedy Rep. Brian King Rep. Karen Kwan Rep. Brad Last Rep. Kelly Miles Rep. Merrill Nelson Rep. Mike Noel
Rep. Derrin Owens Rep. Lee Perry Rep. Val Peterson Rep. Dixon Pitcher Rep. Val Potter Rep. Marie Poulson Rep. Susan Pulsipher Rep. Tim Quinn Rep. Paul Ray Rep. Edward Redd Rep. Angela Romero Rep. Doug Sagers Rep. Scott Sandall Rep. Mike Schultz Rep. Lowry Snow Rep. Carol Spackman Moss Rep. Robert Spendlove Rep. Raymond Ward Rep. Christine Watkins Rep. Curt Webb Rep. Elizabeth Weight Rep. John Westwood Rep. Mark Wheatley Rep. Logan Wilde Rep. Brad Wilson Rep. Mike Winder
*Legislators are graded on their vote on the final passage of the bill excluding concurrence votes.
Sen. Stuart Adams Sen. Jacob Anderegg Sen. Curt Bramble Sen. Gregg Buxton Sen. Allen Christensen Sen. Jim Dabakis Sen. Gene Davis Sen. Luz Escamilla Sen. Lincoln Fillmore Sen. Wayne Harper Sen. Dan Hemmert Sen. Deidre Henderson Sen. Don Ipson Sen. Jani Iwamoto Sen. Pete Knudson Sen. Karen Mayne Sen. Ann Millner President Wayne Niederhauser Sen. Howard Stephenson Sen. Jerry Stevenson Sen. Daniel Thatcher Sen. Kevin VanTassell Sen. Evan Vickers Sen. Todd Weiler Sen. Brian Zehnder
GOING ABOVE AND BEYOND
Common Ground This award honors legislators who work with the business community on a particularly challenging issue with varying perspectives to find common ground.
Awardees
Rep. Brad Wilson and Sen. Stuart Adams
Prosperity Through Education This award honors legislative efforts that improve educational outcomes through innovation, accountability and investment.
Awardees
Rep. Brad Last, Sen. Ann Millner and Sen. Lincoln Fillmore
Keeping Utah Moving This award honors legislative efforts that advance smart and sustainable transportation policy. This includes supporting adequate, stable and long-term funding that supports a high quality of life and economic growth.
Awardees
Rep. Mike Schultz, Sen. Wayne Harper, Speaker Greg Hughes and President Wayne Niederhauser
Balancing Act This award honors legislative efforts that find a balance between supporting our economy and supporting families to ensure the best and brightest are able to contribute to our state’s prosperity.
Awardees
Rep. Becky Edwards and Sen. Todd Weiler Unleashing Economic Opportunity This award honors legislative efforts that strengthen Utah’s economy through encouraging innovation and job creation.
Awardees
Rep. Lowry Snow and Sen. Jerry Stevenson
PARTNER AWARDS
38-15-1 This award honors a local chamber of commerce and/or community organization partner that proactively worked in collaboration with the Salt Lake Chamber to advance key business priorities with their legislators and members.
Awardees
Chris McCormick, Cedar City Chamber of Commerce, and Wasatch Front Regional Council
Strategic Partner This award honors a strategic partner that went above and beyond to enhance the overall influence of the business community in partnership with the Salt Lake Chamber.
Awardee
Jonathan Ball, Office of Legislative Fiscal Analyst
GET INVOLVED 2018 Washington, D.C. Trip September 25-28, 2018 2018 Government Relations Bootcamp Fall 2018 2019 Utah Economic Outlook & Public Policy Summit January 2019 2019 Legislative Reception February 7, 2019 Capitol Club Bi-Monthly Clear the Air Challenge February 2019 Workforce and Education Forums Quarterly
COMMITTEES:
Cybersecurity Leadership Council Quarterly Health System Reform Committee Bi-Monthly Housing GAP Coalition Bi-Monthly Natural Resources Business Council Bi-Monthly Utah Transportation Coalition Bi-Monthly
SLCHAMBER.COM