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Fellow utahns, its an honor to address you in this State Capitol that serves as a symbol of our collective dreams and aspirations. Three weeks ago, we had the privilege of hearing the mormon tabernacle choir. Im very pleased to report to you that in spite of the choirs decision to sing at my inauguration, not one choir member has resigned. [ laughter and applause ] youll remember that the choir performed climb every mountain. As they sang, i reflected on all the mountains we must climb as a people and as a state. When i first took office, utah was climbing out of the great recession. Recognizing that so many of our challenges required a robust economy, we made economic recovery our primary objective. The climb has been arduous, but the height utahs economy now occupies is remarkable. I truly could spend all evening simply listing the National Accolades that have come our way. I know yall want me to do that, but, let me simply note these meaningful bottomline facts. Last year, utah had one of the Fastest Growing Technology Sectors in all of america and utah businesses added more than 43,000 jobs to our economy. [ applause ] thanks to the collective efforts of the lawmakers and officials gathered here tonight, and primary thanks to the hard work and cooperation of the people of utah, i can say emphatically that the state of our state is truly exceptional. [ applause ] but we havent come this far to only go this far. There are several important summits for us to climb together over the next four years. But before we talk about those peaks, let me say a few words about two of the very deep and shadowy valleys in our states current landscape drug addiction and homelessness. I firmly believe that those closest to such issues will typically have [ inaudible ] and ive been encouraged to see our local Law Enforcement and local charities working together to alleviate the suffering of those seeking treatment and those needing shelter. But i also recognize that the state has a role in addressing this problem. Speaker hughes, i am particularly grateful for your willingness to address this issue head on. I look forward to your assessment and recommendations about what with further state support is needed as you and the legislature engage with and monitor local efforts. And let us, as a state, be absolutely clear, that we will no longer tolerate the unconscionable drug trade that victimizes the most vulnerable in our community. Let us all agree tonight that this absolutely must stop. [ applause ] thank you. I wish we had time to talk through every challenge we face. But lets direct our gaze to a few of the more significant summits ahead of us. Among the most important is that of educational excellence. If we will unite and focus, utah can be at the top of the nation of student achievement. And weve already come quite some distance. Since 2009, utahs High School Graduation rate has climbed from 75 to 85 . The fourth largest such increase in the nation. In the most recent National Assessment of educational progress known as the nations report card, utahs fourth graders ranked eighth in the nation in math, seventh in reading and fifth in science. And utahs eighth graders are eighth in math, sixth in reading and first in the nation in science. Thanks to the dedication and hard work of utahs teachers, parents, and students, we can confidently say that utahs getting a superior return on its investment in education. Im gratified by our progress, but as you all know, we still have work to do. Our strong aggregate statistics mask the challenges faced by some of our students, but i remain hopeful because i know of utahs innovative and cando spirit. Therefore, i truly do believe that utah can be number one in the nation on meaningful, measurable milestones of student achievement. Im pleased that business leaders, parents, and educational leaders across the state are close to uniting on a program for kindergarten through Post High School that will take education in utah, from where we are, which is pretty darn good, to where we need to do, which is to be at the very top. Governance of our Public Education system is complex. Our state board of education has the general control of supervision of Public Education. Our constitution tasks you, the legislature, with the establishment and maintenance of our Public Education system. And we recognize that the most important work is accomplished by educators and parents and students at the local level, in our 41 School Districts and our 119 charter schools, all designed to make Students College and career ready. Structurally, my role as governor is the power to convene and the power of this bully pulpit. I can assure you, that i will continue to do all that i can to push for support of our front line educators, for appropriate accountable funding and for innovative alignment between our classrooms and our diverse and dynamic marketplace. Jobs in utahs Aerospace Industry are growing faster than there are trained workers to fill them. To address this, in 2015, i announced a Pilot Program called Utah Aerospace path ways. Aerospace path ways provides High School Students with early training, internships and a head start in entering the workforce with World Class Aerospace companies in utah such as boeing, excel and atk. Colton winners, who is here with us tonight in the balcony, was one of the first to enroll in aerospace path ways. Recently coltons father who is here with us tonight, wrote to me about the great experience his son had in this program. Even better, excels experience with colton during his internship that the company hired him right out of high school. The path ways model assures parents that their children will find meaningful employment here in the state of utah. It gives confidence to utah businesses that they will have a qualified workforce and supports our schools by optimizing engagement between business and education. Therefore, i am pleased to announce tonight a major collaboration called talentready utah, that will accelerate these mutually reinforcing successes, led by the Governors Office of Economic Development and my education adviser tammy pifer. Talented ready utah will expand career tuned statewide by increasing the number of businesses and educational partnerships. Over the next four years, for path ways like programs alone, talent ready utah will recruit hundreds of businesses across utah to partner with and invest in local education. And we anticipate that talent ready utah will help fill 40,000 new high skill, high paying jobs over the next four years. [ applause ] working together, weve invested 1. 8 billion of new money and education over the last five years. And i thank you for your wisdom, your foresight and your commitment. As you know, however, because utah has had the Fastest Growing student population in the nation, we have significant funding needs just to accommodate the growth. And in order to push our way to the top, we need to invest more money into education. But at the same time, i am very concerned about altering our tax policies in any way that could damage our robust economic engine. In fact, the very best way to ensure ongoing growth of Education Funding is to continue to grow the economy. Fail your to take into account how tax rates affect businesses wont help us make good policy decisions. I get it. I know you get it. No one likes to pay taxes, but everyone agrees the state requires sufficient revenue to perform the essential public functions that we, the people, need. Utahs benefitted from a sound and diversified revenue policy that has helped us to weather economic shocks better than any state in america. But over the years, utahs base that produces tax revenue has, in fact, narrowed. Utahs required payment of a use tax and out of state purchase since 1937. Back then when out of state purchases were few and far between, collection of the used tax was not a big deal. Today, however, we purchase more and more goods out of state because of the convenience of Online Shopping and collection of the use tax on those purchase system cumbersome. Our legislative fiscal analysts, our office of management and budget and the Utah State Tax Commission now estimate that the owed but unused tax is 150 to 200 million per year and rising. In addition, our tax system has become complicated. For example, in 1996, there were 48 sales Tax Exemptions. Today there are 89. In that same period, income tax credits have more than tripled, from 12 to now 38. This narrowing of the base is now creating pressure to raise tax rates. We all know that Congress Needs to resolve this issue of how to effectively collect our owed but unpaid use tax, but if Congress Wont do its job, then you, the legislature, must act to provide our own state solution. I also urge a thorough legislative review of each and every Tax Exemption and tax credit to kpampin whether it has outlived its usefulness. That means making our taxes fairer by eliminating loopholes and broadening the base. I look forward to working with president neared houser, speaker hughes, senator henderson, representative elson, and others in the legislature, and particularly with members of the private sector to improve significantly the fairness and equity of our tax system, while maintaining utahs number one business friendly environment. [ applause ] i believe that government regulations are designed to level playing fields and to protect the public. An example of effective state regulations can be found with how utah governs alcohol. The results have been strong as attested by utahs low dui fatalities, our low underage consumption, our low bingedrinking rate and our enviable Public Safety record. But there is room for improvement. Therefore, i appreciate the good work being done by representative brad wilson and senator jerry stevenson, to improve our alcohol policy. For the past several months, we have been working closely together to evaluate our existing laws governing alcohol dispensing, licensing, prevention, education, and enforcement. I know that many in the media have focused narrowly on the issue of dispensing restrictions, but that would be merely one aspect of this updating. This is about Public Health and Public Safety. We will ensure that our regulations, coupled with additional state resources, focus on education, prevention and enforcement practices that are proven to reduce underage drinking, alcohol abuse and impaired driving. I believe we can do this without stigmatizing how responsible adults purchase and consume alcoholic drinks in dining establishments and i believe we can do this without blurring the important distinction between restaurants and bars. To that end, we will Work Together this legislative session to keep and enhance what works for utah and repeal what does not. [ applause ] a year ago i pledged that we would not rest until all 29 counties and 245 cities and towns in our state were full participants in utahs tremendous economic success. We are making progress. Tourism now an 8. 2 billion industry in utah has generated over a billion dollars in state and local taxes and bringing jobs and more economic diversities to cities and towns in rouural utah. Visitation at our 95 national parks, state parks and other areas of the state hit record levels over the past year. But tourism is only one piece of the puzzle. Across rural utah, many businesses are working with the state to innovate and to expand. One example is howies tomatoes where state of the Art Technology has helped them to grow their business by some 280 fu fulltime jobs. Still the fact remains that parts of utah outside the wash etch front are struggling. Tonight, i would like us to unite behind a goal of creating 25,000 new jobs in the 25 counties off the wasatch front over the next four years. [ applause ] outlying parts of utah. [ applause ] state in america, which means more trucks and automobiles contributing to air pollution. As i said before, there is no Silver Bullet thats why i created you care, a statewide nonprofit that empowers individuals and organizations to take proactive steps. Cleaner fuels, cleaner cars and to get people to drive less and conserve more. Utah will soon collect an estimated 35 million from volukswagon and settlement to improve how Diesel Technology affects air quality. Ive asked the department of Environmental Quality and an looiz and identify how the valuable settlement dollars will give the sustainable reduction of pollution possible. Those discussions should include replacing high pollution diesel engines and including those of older diesel Burning School buses. , as you know, were making a difference. Utah population increased between 2002 and 2014 statewide emissions declined by 30 . Thats a 46 reduction and we accomplish it by reducing hundreds of millions of dollars by the best Emission Control Technology and expanding the Transit System faster than any state in the country. And such as turning down thermostat and engaging to encourage the construction of Energy Efficient buildings. And also by making alternative energy. Utah is now in the top ten in the nation for electric vehicle adoption and number one when it comes to compressed natural gas infrastructure. Sometimes we fail to recognize the progress were making like refineries of sulfur fuels to market. And along the way, ill visit organizations that need a little extra encouragement to help us make improvements to the air quality. This is a shared responsibility. So lets keep it up. Lets redouble collective effort because we shouldnt have to go to a summit to breathe clean air. Last week i was in washington d. C. And gad to be here but returning from the inauguration, if there is one message clear from the new administration, it is that power will be returned to the people and to the states. [ applause ] i am confident well gain control over education, transportation, health care, Natural Resources and our public lands. There say renewed appreciation for the tenth amendment and a realization that the states are truly the laboratories of democracy, the place where Real Solutions are developed to improve peoples lives. It is at the state level where invasion tailored to the unique local demographics is actually taking place and utah is at the forefront of that invasion and that effort. So thank youall. [ applause ] yes, there are challenges ahead but we have a history of working together to accomplish what others say is too hard. Define the odds to achieve great ness is part of our cultural dna. Thats by resident and entrepreneur of the gyms located in salt lake city. In 2003, when the doctor told greg his knees were shot and advised him to take up crockett, he seemed to dream the dream to summit mount everest. In 2008, greg had his right knee replaced with an artificial knee system made by draper based development. Avalanches forced his team to cancel the client. Greg had his left knee replaced. His second crack at everest in 2014 fell short when a major avalanche killed more than a dozen people on the mountain. On his third attempt confronted by severe weather. The team paused short of the summent wondering whether to turn back once again. Early on the morning of and get this, friday the 13th, greg assented the summit becoming the First American climber to conquer everest in three years and the first person ever to conquer everest with artificial knees. Hightech replacements made in good old draper, utah. Please recognize greg paul who is here with us. And his family. Pretty impressive. We need to get on top of generational poverty. Teen suicide. Homelessness and addiction. We need to be at the top of the nation in student achievement and align our training with marketplace demands. We need to keep our tax system balanced and competitive while making it fair and more inclusi inclusive. We need to see our Economic Opportunities are expanding statewide. We need to continue to clean up air and reinvigorate federalism to utah challenges. Like greg paul, it may take years of planning and preparation to reach our goal. Like greg, we may face insurmountable obstacles on the first and second attempts. Like greg, we will likely need utah invasion and technology to enhance the natural capacity. But also like greg, we need to keep our eye focussed on our lofty objective. Recognize when the moe men tarry of window of opportunity opens and seize the day and press onto the top. Personally, i am committed to this track no matter how difficult the way. I am exhilarated by the challenge because i have never, ever been more optimistic about utahs prospects for success. And i invite you to join me. May god bless us as we climb higher. May God Bless America and continue to bless the great state of utah. Thank you so very much. Cspan washington journal live every day. Coming up tuesday morning, texas republican congressman joins us to talk about republican plans to repeal and replace the Affordable Care act. Then Pennsylvania Democratic congressman brendon boil will discuss his opposition to president trumps executive order restricting travel by immigrants from seven muslim majority countries. Be sure to watch cspans washington journal live at 7 00 a. M. Eastern tuesday morning. Join the discussion. Next a hearing on the u. S. Economic outlook with keith hall, director of the Congressional Budget Office that provides analysis. This is two hours. Welcome to the committee on the Budget Hearing on the Congressional Budget Offices and

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