63A-5b-804. Leasing by the Administrative Office of the Courts -- Judicial Council approval required for high-cost lease -- Director's responsibilities.

341 words·~2 min read·/ut/title-63a/chapter-5b/63a-5b-804

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

Effective 5/12/2020

(1)Before executing a high-cost lease or a modification to a lease that results in a high-cost lease, the Administrative Office of the Courts shall submit a draft of the new lease or modification to:

(a)the Judicial Council; and

(b)the director.

(2)The director shall:

(a)review the draft submitted by the Administrative Office of the Courts; and

(b)within 30 days after receiving the draft, submit a report on the draft to:

(i)the Judicial Council; and

(ii)the Office of the Legislative Fiscal Analyst.

(3)A report under Subsection (2)(b) shall contain:

(a)the director's opinion about:

(i)whether the lease or modification is cost-effective when the needs of the entity to be housed in the leased facility are considered;

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

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

(b)a comparison of the proposed lease payments to the current market rates, and a recommendation as to whether the proposed lease payments are reasonable under current market conditions;

(c)a comparison of proposed significant lease terms to the current market, and a recommendation as to whether the proposed terms are reasonable under current market conditions; and

(d)a recommendation from the director that the lease or modification to a lease be approved or disapproved.

(a)The Administrative Office of the Courts may not execute a new high-cost lease or modification to an existing lease that will result in a high-cost lease unless the lease or modification is approved by a majority vote of the Judicial Council.

(b)The Judicial Council shall consider the recommendations of the director in determining whether to approve a high-cost lease or modification resulting in a high-cost lease.

Renumbered and Amended by Chapter 152 , 2020 General Session