No. 35726 (5-year Review): Rule R317-12. General Requirements: Tax Exemption for Water Pollution Control Equipment

DAR File No.: 35726
Filed: 01/25/2012 07:31:49 AM

NOTICE OF REVIEW AND STATEMENT OF CONTINUATION

Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:

The statutory provisions under which the rule is enacted are Sections 19-2-123, 19-2-124, 19-2-125, 19-2-126, and 19-2-127. These provisions require the rule because they allow for tax relief to industries that have obtained a certification for a pollution control facility from a state agency. Rule R317-12 is the mechanism for how the Utah Division of Water Quality determines whether a pollution control facility is eligible for certification.

Summary of written comments received during and since the last five-year review of the rule from interested persons supporting or opposing the rule:

No written comments have been received by the Utah Division of Water Quality since Rule R317-12 was enacted five years ago. However, the agency did have a meeting with one applicant that resulted in a statutory change to Section 19-2-124. The statutory change is as follows: Previous statute: 19-2-124. Application for certification of pollution control facility -- Refunds -- Interest.... (2)(a)(i) A person who applies under Subsection (1) shall be: (A) the owner of a trade or business that uses property in the state requiring a pollution control facility to prevent or minimize pollution; or (B) a person who, as a lessee or pursuant to an agreement, conducts the trade or business that operates or uses the property. (ii) For purposes of this Subsection (2), "owner" includes a contract purchaser.� New statute: 19-2-124. Application for certification of pollution control facility -- Refunds -- Interest.� (2)(a)(i) A person who applies under Subsection (1) shall be: (A) the owner of a trade or business that uses property in the state requiring a pollution control facility to prevent or minimize pollution; (B) a person that, as a lessee or pursuant to an agreement, conducts the trade or business that operates or uses the property; or (C) a person that operates a pollution control facility pursuant to an agreement with an owner described in Subsection (2)(a)(i)(A) or a person described in Subsection (2)(a)(i)(B). (ii) For purposes of this Subsection (2), "owner" includes a contract purchaser....

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

The rule should be continued because it provides clear guidance to companies as to whether their pollution control facility is eligible for certification from the Utah Division of Water Quality. Rule R317-12 will be revised to incorporate the Utah Code revision after the five-year review is completed.

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Environmental Quality
Water QualityRoom DEQ, Third Floor
195 N 1950 W
SALT LAKE CITY, UT 84116

Direct questions regarding this rule to:

• Judy Etherington at the above address, by phone at 801-536-4344, by FAX at 801-536-4301, or by Internet E-mail at [e-mail]

Authorized by:

Walter Baker, Director

Effective:

01/25/2012

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