Just drive around Duchesne/Uintah County. There is Ute themed stuff all over the place. Lots of tribal members rock Ute gear daily.
Currently, the UofU is not appropriating anything. I'm sure it started that way, but at the moment, they are using the Ute name with full support from Ute tribe leadership. If that wasn't the case the leaders of the Ute tribe would have no qualms making it known to the world.