DAR File No. 40558

Transportation, Administration

Rule R907-63

Structure Repair and Loss Recovery Procedure

Notice of Proposed Rule

(Amendment)

DAR File No.: 40558
Filed: 06/30/2016 11:47:22 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

The purpose of the amendment is to make grammatical corrections to clarify the substance of the rule and the Department's purpose for having the rule. The Department also adds text to increase the breadth of the kinds of costs the Department may recover from persons who cause damage to the Department's structures and highway systems, and to affirm the Department's policies regarding compromise and settlement of such matters.

Summary of the rule or change:

This amendment makes grammatical corrections to clarify the substance of the rule and the Department's purpose for having the rule. It also adds text to increase the breadth of the kinds of costs the Department may recover from persons who cause damage to the Department's structures and highway systems, and affirm the Department's policies regarding compromise and settlement of such matters.

State statutory or constitutional authorization for this rule:

• Section 72-7-301

Anticipated cost or savings to:

the state budget:

This amendment may add savings to the state's budget if it enables the Department to recover all its costs for repairing damage caused to the Department's structures and highway systems by motorists. However, it is not possible to assert with any certainty that the amendment will result in any change in the state's budget.

local governments:

The Department does not anticipate this amendment will result in any changes to the budgets of local governments because it does not change anything that might affect the revenues of local governments.

small businesses:

The Department does not anticipate this amendment will result in any changes to the budgets of small businesses because it does not change anything that might affect the revenues of small businesses.

persons other than small businesses, businesses, or local governmental entities:

The Department does not anticipate this amendment will result in any changes to the budgets of persons other than small businesses, businesses, or local government entities because it does not change anything that might affect the revenues of persons other than small businesses, businesses, or local government entities.

Compliance costs for affected persons:

Persons affected by Rule R907-63 are those who cause damage to the Department's structures and highway systems. This amendment does not change who is affected by the rule or how they are affected. The Department's intent is not to alter compliance costs for affected persons with this amendment. The Department's intent with this amendment to add clarity to Rule R907-63 and eliminate possible confusion. Compliance costs for affected persons are determined by the amount of damage they cause to the Department's structures and highway systems. This amendment does not change that.

Comments by the department head on the fiscal impact the rule may have on businesses:

This amendment should not cause fiscal impact to businesses. The rule itself already requires a business that damages the Department's structures and highway systems to reimburse the Department for the cost of repairing the damage. This amendment should make the rule easier to understand.

Carlos Braceras, Executive Director

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

Transportation
Administration
CALVIN L RAMPTON COMPLEX
4501 S 2700 W
SALT LAKE CITY, UT 84119-5998

Direct questions regarding this rule to:

• James Palmer at the above address, by phone at 801-965-4000, by FAX at 801-965-4338, or by Internet E-mail at jimpalmer@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

08/15/2016

This rule may become effective on:

08/22/2016

Authorized by:

Carlos Braceras, Executive Director

R907. Transportation, Administration.

R907-63. Structure Repair and Loss Recovery Procedure.

R907-63-1. Authority and Purpose.

This rule establishes a procedure for loss recovery for damages to [bridge-]structures, appurtenances , thereto and the roadway as provided in Section 72-7-301.

 

R907-63-2. Procedure to Collect for Damage to Structures and Highways.

(1) Upon notification of damage to [UDOT]the Department's property, the [Utah ]Department [of Transportation ]shall repair or replace [it]damaged structures and highway elements.

(2) All costs associated with the repair or replacement of the damaged property shall then be [billed] invoiced to the owner of the vehicle causing the damage, or to the person directly responsible for the damage.

(3) If the damage is caused by a vehicle, the person responsible shall [pay ]reimburse the Department for the full cost of repairing the damage[the bill].

(4) If payment is not received by [UDOT]the Department within 60 days of [billing]the date of the invoice, the Department [UDOT ]may pursue payment by one of the following means:

(a) UDOT may pursue collection of a delinquent account in accordance with Sections 63A-3-301 through 63A-3-310, Accounts Receivable Collection.

(b) The account may be [turned over]tendered to a collection agency for immediate collection.

(5) In cases where undue financial pressure would be caused by full payment of a n invoice[bill], the owner of the vehicle or person responsible for the damage may arrange to make installment payments on the debt.

 

R907-63-3. Eligible Region Recovery Costs.

The appropriate R[r]egion may seek recovery of all costs associated with an incident , [for]including traffic control, maintenance and repair when such work is performed by R[r]egion work forces to maintain the integrity of the highway system, structure, or to restore the damaged system and facilities to their preexisting condition.

 

R907-63-4. Eligible Division Recovery Costs.

When damage occurs[is] to a bridge structure:

(1) The Structures Division shall accumulate all costs for preparing design calculations, design plans, specifications and engineering estimates, [design plans,]including professional engineering services and construction engineering with associated overhead costs, along with all costs related to [and costs associated with ]publication, preparation , and advertising the bid package[for bids, plus engineering overhead costs].

(2) The Structures Division shall award the project to the lowest responsive and [qualified]responsible bidder . The Structures Division shall submit the final accumulated project costs, including [and include ]all eligible R[r]egion charges [and submit ]to UDOT Risk Management for the cost recovery process.

 

R907-63-5. Department Settlement Policy.

(1) [It shall be t]The Department's intent is to secure full recovery from the responsible party(s) based on the full actual cost of such repairs to the structure or highway system damaged including all indirect costs associated with or resulting from an occurrence.

(2) The Department may at its discretion elect to accept settlement based on detailed engineering estimates and any direct or indirect costs associated with or resulting from an occurrence when [it]the Department [deems]determines that it is in the best interest of the motoring public and tax payer s to delay or forgo repairs to the damaged structure s or highway system.

(3) Settlements shall conform to the requirements of the State Settlement Agreements Act, Sections 63G-10-101 through 503.

([3]4) The Department may submit to the Attorney General any claim for recovery, which is in dispute, requesting legal action be taken to recover the State's losses and settle such claims based on the laws of liability or as directed by the courts.

 

KEY: bridges, damages, loss recovery[*], structures

Date of Enactment or Last Substantive Amendment: [April 1, 1997]2016

Notice of Continuation: August 11, 2011

Authorizing, and Implemented or Interpreted Law: 72-7-301; 63A-3-301 through 63A-3-310