63A-5-304 - Leasing by the Judicial Council and the Administrative Office of the Courts -- Director's responsibilities.
63A-5-304. Leasing by the Judicial Council and the Administrative Office of theCourts -- Director's responsibilities.
(1) Before executing any high-cost lease or a modification to a lease that results in ahigh-cost lease, the Administrative Office of the Courts shall submit a draft of the new lease ormodification to:
(a) the Judicial Council; and
(b) the director of the Division of Facilities Construction and Management.
(2) The director shall:
(a) review the drafts submitted by the Administrative Office of the Courts; and
(b) within 30 days after receiving the drafts from the office, submit a report on thosedrafts to:
(i) the Judicial Council; and
(ii) the Office of Legislative Fiscal Analyst.
(3) The report shall contain:
(a) the director's opinion about:
(i) whether or not the lease or modification is cost-effective when the needs of the entityto be housed in the leased facility are considered;
(ii) whether or not another option such as construction, use of other state-owned space, ora lease-purchase agreement is more cost-effective than leasing; and
(iii) whether or not the significant lease terms are cost-effective and provide the state withsufficient flexibility and protection from liability;
(b) a comparison of the proposed lease payments to the current market rates, and arecommendation as to whether or not the proposed lease payments are reasonable under currentmarket conditions;
(c) a comparison of proposed significant lease terms to the current market, and arecommendation as to whether these proposed terms are reasonable under current marketconditions; and
(d) a recommendation from the director that the lease or modification to a lease beapproved or disapproved.
(4) (a) The Administrative Office of the Courts may not execute any new high-cost leasesor modifications to any existing lease that will result in a high-cost lease unless that lease or thosemodifications are approved by a majority vote of the Judicial Council.
(b) The Judicial Council shall consider the recommendations of the director of thedivision in determining whether or not to approve high-cost leases and modifications resulting inhigh-cost leases.
Enacted by Chapter 113, 1995 General Session