56.491 Approval required for certain projects -- Conditions -- Exceptions.
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56.491 Approval required for certain projects -- Conditions -- Exceptions.
(1) No state agency shall have power or authority to make plans and specifications,
provide public notice of invitations for bids, let contracts, or incur any financing <br>commitments, either in the way of a charge against public funds or in the way of <br>negotiations for issuance of revenue bonds, for any capital construction projects <br>involving the improvement of lands or the construction, alteration, reconstruction, <br>or major repair of any building or other structure, or sewage disposal or water <br>supply system, requiring the expenditure of more than two hundred fifty thousand <br>dollars ($250,000) without first securing the approval of the Finance and <br>Administration Cabinet.
(2) The state agency seeking the approval shall submit to the Finance and
Administration Cabinet a general description of the proposed project, with the <br>detailed information the cabinet may require. Review of construction plans for <br>conformance with the Uniform State Building Code shall be conducted by the <br>Department of Housing, Buildings and Construction. The Finance and <br>Administration Cabinet shall not approve any project requiring its approval in any <br>instance if it finds that: the project is not needed; the proposed method of financing <br>is not sound; the project will exceed the amount of the funds available therefor; the <br>work contemplated will be insufficient to accomplish the purpose of the project; or <br>after providing for the ordinary recurring expenses of government and debt service <br>and for payments under existing allotments for extraordinary expenses and capital <br>outlay, cash will not be available in the State Treasury to promptly pay for the work <br>during the biennium, or except as provided in subsection (5) of this section, that the <br>work is to be done by employees of the agency.
(3) The finding of the Finance and Administration Cabinet shall be final, except in
cases where the issuance and sale of bonds is proposed, in which cases the cabinet <br>shall submit its findings to the commission for final approval, modification, or <br>disapproval.
(4) Any capital construction project, the total cost of completion of which the Finance
and Administration Cabinet determines will exceed two hundred fifty thousand <br>dollars ($250,000), shall be contracted for on a competitive bid basis, and the <br>execution of the contracts shall be approved and authorized by the cabinet. When a <br>capital construction project has been approved as provided in this section, in whole <br>or in part, the cabinet shall prepare the plans and specifications, provide public <br>notice of invitations for bids, award the contracts, supervise the construction, and <br>handle the financial negotiations on behalf of the requesting state agency; or with <br>prior written approval, the cabinet may authorize a state agency to do so with <br>delegated authority of the cabinet.
(5) A capital construction project, the total cost of completion of which the Finance and
Administration Cabinet determines will not exceed two hundred fifty thousand <br>dollars ($250,000), may be performed by the employees of the requesting agency or <br>by individuals hired specifically for the project who shall be exempt from the <br>requirements of KRS Chapter 18A, if the project is approved and authorized by the <br>cabinet. Necessary materials and supplies shall be procured in accordance with the
standard purchasing procedures and policies of the cabinet as defined in KRS <br>Chapter 45A.
(6) This section shall not apply to capital outlays to the Department of Highways for
roads and bridges.
(7) This section shall not apply to capital outlays by the Justice and Public Safety
Cabinet for repair, maintenance, improvement, or expansion of present correctional <br>facilities on which projects inmates are used. Any capital construction project to be <br>performed by the Justice and Public Safety Cabinet shall be approved and <br>authorized by the Finance and Administration Cabinet.
(8) This section shall not apply to surveys capable of being performed by employees of
the Department of Fish and Wildlife Resources. Boundary surveys or surveys <br>involving property lines shall be performed by or under the supervision of an <br>employee possessing a professional land surveyor license.
Effective: July 15, 2010 <br>History: Amended 2010 Ky. Acts ch. 24, sec. 52, effective July 15, 2010. -- Amended
2009 Ky. Acts ch. 72, sec. 1, effective June 25, 2009. -- Amended 2007 Ky. Acts <br>ch. 85, sec. 127, effective June 26, 2007. -- Amended 2006 Ky. Acts ch. 127, sec. 1, <br>effective July 12, 2006. -- Amended 2000 Ky. Acts ch. 225, sec. 2, effective July 14, <br>2000. -- Amended 1998 Ky. Acts ch. 120, sec. 24, effective July 15, 1998. -- <br>Amended 1994 Ky. Acts ch. 15, sec. 1, effective July 15, 1994. </p>
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