House passes amended bill to fund governor negotiations on federal retirees settlement, 65-10

The Utah House of Representatives passed House Bill 8 as amended on the floor, voting 65 to 10 to authorize the governor to negotiate a settlement with federal retirees and to make up to $50,000,000 available for that purpose. The vote followed adoption of several technical amendments and a late change to an administrative funding line.

Representative Proxman, speaking in support, described the bill as a starting point to “get the ball rolling,” saying the measure “simply . . . empowers the governor to negotiate and it gives him a pot of $50,000,000 to use in those negotiations.” He emphasized the bill does not fix an interest rate, set who qualifies for a settlement, or establish a prorated payment schedule. “The bill just gives the governor money and says go negotiate,” Proxman said.

Representative Peterson told the House he had received many calls from federal retirees and said he supported moving toward a resolution; he said he believed retirees “should be given the 12% interest rate.” The record shows members acknowledged the governor had signaled a negotiating range (6% to 12%), but the bill itself does not lock in any percentage.

On a separate amendment debated on the floor, Representative Howard successfully moved to clarify that references to "interest" in the bill mean interest “received by the state,” not interest the state might owe. That amendment was adopted by voice.

A dispute over a $300,000 administrative allocation to the State Tax Commission produced a procedural amendment: Representative Bishop moved to delete $300,080 (placing a zero), arguing that sending a zero to the Senate would force further review of the figure. The House adopted that amendment and adjusted the short title accordingly. The transcript records both the $300,080 figure offered for deletion and earlier references to $300,000 in the bill text; the record does not reconcile those two numbers on the floor.

The clerk called the roll on House Bill 8 as amended. After a full roll call, the presiding officer announced 65 yes votes and 10 no votes; the bill passed and will be referred to the Senate for further action.

Action details: the House adopted the sponsor's amendment (pink sheet under Representative Frank Pignanelli), inserted clarifying language “received by the state” on page 4 at Representative Howard's request, deleted the administrative allocation (motion to replace $300,080 with 0), and approved final passage 65–10. No amendments in the record established an interest rate or a final eligibility class; those items were described as matters for negotiation by the governor.

The bill’s passage concluded with brief personal-privilege remarks and member announcements; the House then adjourned until 9:00 a.m. the next day.