(1) As used in this section:
(a) "Exempt application" means an application for federal funding that meets the criteria established under Subsection (3)(g).
(b) "Federal funding" means a grant, contract, or other funding from the federal government that could provide funds for a local health department to fulfill the duties and responsibilities of the local health department.
(c) "Governance committee" means the committee created in Subsection (2).
(2) The department shall establish a committee that consists of:
(a) the executive director or the executive director's designee;
(b) two representatives of the department appointed by the executive director; and
(c) three representatives of local health departments appointed by a group representing all the local health departments in the state.
(3) The governance committee shall:
(a) review all state and federal funding to the department to identify funding that the department may use to support:
(i) the requirements of Subsection 26A-1-106(3); and
(ii) the minimum performance standards created by the department under Subsection 26A-1-106(4);
(b) review the allocation of environmental quality resources between the department and the local health departments, including whether funds allocated by contract or cooperative agreement were:
(i) allocated in accordance with the formula described in Section 26A-1-116; and
(ii) subject to requirements satisfying or exceeding the minimum performance standards created by the department under Section 26A-1-106;
(c) evaluate rules and department policies that affect a local health department in accordance with Subsection (4);
(d) consider policy changes proposed by the department or by a local health department;
(e) coordinate the implementation of environmental quality programs to maximize environmental quality resources;
(f) except as provided by Subsection (3)(g), review each department application for any federal funding that affects a local health department before the department submits the application; and
(g) establish a process by which the committee may exempt an application for federal funding from the review required under Subsection (3)(f).
(4) When evaluating a policy or rule that affects a local health department, the governance committee shall:
(a) compute an estimate of the cost a local health department will bear to comply with the policy or rule;
(b) specify whether there is any funding provided to a local health department to implement the policy or rule; and
(c) advise whether the policy or rule is needed.
(5) The governance committee shall create bylaws to govern the committee's operations.