63A-5b-802. Leasing responsibilities of the director.

422 words·~2 min read·/ut/title-63a/chapter-5b/63a-5b-802·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/4/2022

(1)The director shall:

(a)prepare and submit a yearly request to the governor and Legislature for a designated amount of square footage by type of space to be leased by the division for that fiscal year;

(b)lease, in the name of the division, all real property space to be occupied by a leasing agency;

(c)in leasing space:

(i)use a process consistent with the best interest of the state, the requirements of the leasing agency, and the anticipated use of the property; and

(ii)comply with any legislative mandates contained in the appropriations act or other legislation;

(d)apply the criteria contained in Subsection (1)(f) to prepare a report evaluating each high-cost lease at least 12 months before the lease expires;

(e)evaluate each lease under the division's control and apply the criteria contained in Subsection (1)(f) , as applicable, to evaluate the lease;

(f)in evaluating leases:

(i)determine whether the lease is cost-effective when the needs of the leasing agency to be housed in the leased facilities are considered;

(ii)determine whether another option such as construction, use of other state-owned space, or a lease-purchase agreement is more cost-effective than leasing;

(iii)determine whether the significant lease terms are cost-effective and provide the state with sufficient flexibility and protection from liability;

(iv)compare the proposed lease payments to the current market rates, and evaluate whether the proposed lease payments are reasonable under current market conditions;

(v)compare proposed significant lease terms to the current market, and recommend whether these proposed terms are reasonable under current market conditions; and

(vi)if applicable, recommend that the lease or modification to a lease be approved or disapproved;

(g)based upon the evaluation, include in the report recommendations that identify viable alternatives to:

(i)make the lease cost-effective; or

(ii)meet the leasing agency's needs when the lease expires; and

(h)upon request, provide the information included in the report to:

(i)the leasing agency benefitted by the lease; and

(ii)the Office of the Legislative Fiscal Analyst.

(2)The director may:

(a)subject to legislative appropriation, enter into a facility lease with a term of up to 10 years if the length of the lease's term is economically advantageous to the state; and

(b)subject to legislative appropriation, enter into a facility lease with a term of more than 10 years if the length of the lease's term is economically advantageous to the state.

Amended by Chapter 421 , 2022 General Session