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Show L(p50(oj'jw p)FDS dlf In the final hours, Utah Legislatures approved a bill to allocate $35 million in mineral lease money to be loaned to communities having to cope with energy impacts. The mineral lease bonus money was 37V2 percent of the bonuses paid by the White River Oil Shale Corporation which has been held by the Federal Government since 1974. Both local Senator Glade Sowards and Gayle McKeachnie served on a governor's special committee, formed to make recommendations for use of the $50 million. The committee's recommendations were to put 70 percent of the fund in the Community Impact Fund managed by the State Community Impact Board. The other 30 percent was recommended to be allocated to state agencies. As the special legislative session entered Friday evening, the Senate agreed with the House amendments of the bill proposed by the governor's committee. The House amendments blocked use of the money for housing and required that communities receiving loans levy a property tax within 5 percent of the statewide average. The Legislature approved allocating 70 percent, or $35 million, into the Community Impact Fund, but reserved the remaining 30 percent of the bonus money to be appropriated at the next session of the Legislature next January. The Senate set an interest rate of half of that on the state's present general obligation bonds, or about 4 percent, for the $35 million to be paid back. According to Senator Glade Sowards, the total interest rate must be half the prevailing bonding rate, "but part of the $35 million will be invested at 13 percent interest allowing even lower interest." In the Senate, Senator Sowards said he felt very good about the way the voting went for approval of the bill. Twenty-four favored the bill, while four senators opposed it, Sowards said. The bill limits the Community Impact Board from loaning more than $25 million of the bonus funds this year. The other $15 million will be held to accrue interest until January when the Legislature will decide its specific appropriation. "Both Senator Sowards and Representative Gayle McKeachnie should be commended for their efforts in getting the bill passed," said Bob Nickolson, city-county planner who attended most of the special sessions of the Legislature. |