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Senate advances revised government liability caps after amendment fight
Summary
Senators approved a second substitute of Senate Bill 35 on Feb. 3, 2000, raising some caps on government liability (proposed $500,000 per person; $1,000,000 per occurrence) and indexing limits; amendment to double a tort levy failed. Senate vote: 27–0 (2 absent) to move the second substitute to third reading.
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After extended floor debate over the scope and fiscal effects of changing government liability caps, the Utah Senate advanced a second substitute to Senate Bill 35 and moved it to third reading on Feb. 3, 2000.
Senator Stevenson, sponsor of the substitute, said the bill addresses government-immunity limits that can leave severely injured people with caps that fail to cover medical costs and loss of income. Under the compromise reached with local governments and insurers, the floor substitute increases the per-person cap to $500,000 and raises the cap for two or more claimants to $1,000,000, with indexing for inflation and a delayed implementation tied to the FY2002 budget window.
Senator Spencer offered an amendment to increase a local tort-liability levy and to allow funds to be used only for paying judgments or premiums, arguing local governments need the revenue mechanism to pay potential judgments. The presiding officer ruled the floor amendment failed after a recorded voice vote.
Supporters framed the bill as a middle-ground reform that narrows government exposure for certain claims while increasing the ability of injured parties to recover; opponents warned of higher costs borne by taxpayers through insurance adjustments or levies. Senator Montgomery said she would reluctantly support the bill because modest increases could reduce vulnerability to legal challenges while not creating unbounded exposure.
The Senate recorded the second substitute as passing to third reading with 27 aye votes, no nays and 2 absent. Sponsors indicated an appropriation in the FY2002 budget would be needed to cover changes in limits when they take effect.
