Section 228 - Capital improvement projects.

UT Code § 63A-5-228 (2019) (N/A)
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(1) As used in this section: (a) "Building board" means the State Building Board created under Section 63A-5-101. (b) "Capital improvement" means: (i) a remodeling, alteration, replacement, or repair project with a total cost of less than $3,500,000; (ii) a site or utility improvement with a total cost of less than $3,500,000; (iii) a utility infrastructure improvement project that: (A) has a total cost of less than $7,000,000; (B) consists of two or more projects that, if done separately, would each cost less than $3,500,000; and (C) the division determines is more cost effective or feasible to be completed as a single project; or (iv) a new facility with a total construction cost of less than $500,000. (c) "Capital improvements list" means the list that the division is required to submit to the Legislature under Subsection (2)(a).

(a) "Building board" means the State Building Board created under Section 63A-5-101.

(b) "Capital improvement" means: (i) a remodeling, alteration, replacement, or repair project with a total cost of less than $3,500,000; (ii) a site or utility improvement with a total cost of less than $3,500,000; (iii) a utility infrastructure improvement project that: (A) has a total cost of less than $7,000,000; (B) consists of two or more projects that, if done separately, would each cost less than $3,500,000; and (C) the division determines is more cost effective or feasible to be completed as a single project; or (iv) a new facility with a total construction cost of less than $500,000.

(i) a remodeling, alteration, replacement, or repair project with a total cost of less than $3,500,000;

(ii) a site or utility improvement with a total cost of less than $3,500,000;

(iii) a utility infrastructure improvement project that: (A) has a total cost of less than $7,000,000; (B) consists of two or more projects that, if done separately, would each cost less than $3,500,000; and (C) the division determines is more cost effective or feasible to be completed as a single project; or

(A) has a total cost of less than $7,000,000;

(B) consists of two or more projects that, if done separately, would each cost less than $3,500,000; and

(C) the division determines is more cost effective or feasible to be completed as a single project; or

(iv) a new facility with a total construction cost of less than $500,000.

(c) "Capital improvements list" means the list that the division is required to submit to the Legislature under Subsection (2)(a).

(2) (a) (i) On or before January 15 of each year, the division shall, on behalf of all state agencies, submit a list of anticipated capital improvement requirements to the Legislature. (ii) The division shall ensure that the capital improvements list identifies: (A) each single project that costs more than $1,000,000; (B) each multiple project within a single building or facility that collectively costs more than $1,000,000; (C) each single project that will be constructed over multiple years with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000; (D) each multiple project within a single building or facility with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000; (E) each single project previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; (F) each multiple project within a single building or facility previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; and (G) each project described in Subsection (1)(b)(iii). (b) Unless otherwise directed by the Legislature, the division shall prioritize capital improvements on the capital improvements list up to the level of appropriation made by the Legislature. (c) In prioritizing capital improvements, the division shall consider the results of facility evaluations completed by an architect or engineer as stipulated by the building board's facilities maintenance standards. (d) In prioritizing capital improvements, the division shall allocate at least 90% of the funds that the Legislature appropriates for capital improvements to: (i) projects that address: (A) a structural issue; (B) fire safety; (C) a code violation; or (D) any issue that impacts health and safety; (ii) projects that upgrade: (A) an HVAC system; (B) an electrical system; (C) essential equipment; (D) an essential building component; or (E) infrastructure, including a utility tunnel, water line, gas line, sewer line, roof, parking lot, or road; or (iii) projects that demolish and replace an existing building that is in extensive disrepair and cannot be fixed by repair or maintenance. (e) In prioritizing capital improvements, the division may not allocate more than 10% of the funds that the Legislature appropriates for capital improvements to: (i) remodeling and aesthetic upgrades to meet state programmatic needs; or (ii) construct an addition to an existing building or facility. (f) The division may require an entity that benefits from a capital improvement project to repay the capital improvement funds from savings that result from the project. (g) The division may provide capital improvement funding to a single project or to multiple projects within a single building or facility, even if the total cost of the project or multiple projects is $3,500,000 or more, if: (i) the capital improvement project is a project described in Subsection (1)(b)(iii); and (ii) the Legislature has not refused to fund the project with capital improvement funds. (h) In prioritizing and allocating capital improvement funding, the division shall comply with the requirement in Subsection 63B-23-101(2)(f). (i) In developing the capital improvement list and priorities, the division shall require each state agency that requests an appropriation for a capital improvement project to: (i) submit a capital improvement project request; and (ii) complete and submit a project scoping document. (j) A project scoping document under Subsection (2)(i)(ii) shall address: (i) the need for the capital improvement project; and (ii) the appropriateness of the scope of the capital improvement project. (k) The division shall verify the completion and accuracy of a project scoping document that a state agency submits under Subsection (2)(i)(ii).

(a) (i) On or before January 15 of each year, the division shall, on behalf of all state agencies, submit a list of anticipated capital improvement requirements to the Legislature. (ii) The division shall ensure that the capital improvements list identifies: (A) each single project that costs more than $1,000,000; (B) each multiple project within a single building or facility that collectively costs more than $1,000,000; (C) each single project that will be constructed over multiple years with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000; (D) each multiple project within a single building or facility with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000; (E) each single project previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; (F) each multiple project within a single building or facility previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; and (G) each project described in Subsection (1)(b)(iii).

(i) On or before January 15 of each year, the division shall, on behalf of all state agencies, submit a list of anticipated capital improvement requirements to the Legislature.

(ii) The division shall ensure that the capital improvements list identifies: (A) each single project that costs more than $1,000,000; (B) each multiple project within a single building or facility that collectively costs more than $1,000,000; (C) each single project that will be constructed over multiple years with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000; (D) each multiple project within a single building or facility with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000; (E) each single project previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; (F) each multiple project within a single building or facility previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; and (G) each project described in Subsection (1)(b)(iii).

(A) each single project that costs more than $1,000,000;

(B) each multiple project within a single building or facility that collectively costs more than $1,000,000;

(C) each single project that will be constructed over multiple years with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000;

(D) each multiple project within a single building or facility with a yearly cost of $1,000,000 or more and an aggregate cost of more than $3,500,000;

(E) each single project previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000;

(F) each multiple project within a single building or facility previously reported to the Legislature as a capital improvement project under $1,000,000 that, because of an increase in costs or scope of work, will now cost more than $1,000,000; and

(G) each project described in Subsection (1)(b)(iii).

(b) Unless otherwise directed by the Legislature, the division shall prioritize capital improvements on the capital improvements list up to the level of appropriation made by the Legislature.

(c) In prioritizing capital improvements, the division shall consider the results of facility evaluations completed by an architect or engineer as stipulated by the building board's facilities maintenance standards.

(d) In prioritizing capital improvements, the division shall allocate at least 90% of the funds that the Legislature appropriates for capital improvements to: (i) projects that address: (A) a structural issue; (B) fire safety; (C) a code violation; or (D) any issue that impacts health and safety; (ii) projects that upgrade: (A) an HVAC system; (B) an electrical system; (C) essential equipment; (D) an essential building component; or (E) infrastructure, including a utility tunnel, water line, gas line, sewer line, roof, parking lot, or road; or (iii) projects that demolish and replace an existing building that is in extensive disrepair and cannot be fixed by repair or maintenance.

(i) projects that address: (A) a structural issue; (B) fire safety; (C) a code violation; or (D) any issue that impacts health and safety;

(A) a structural issue;

(B) fire safety;

(C) a code violation; or

(D) any issue that impacts health and safety;

(ii) projects that upgrade: (A) an HVAC system; (B) an electrical system; (C) essential equipment; (D) an essential building component; or (E) infrastructure, including a utility tunnel, water line, gas line, sewer line, roof, parking lot, or road; or

(A) an HVAC system;

(B) an electrical system;

(C) essential equipment;

(D) an essential building component; or

(E) infrastructure, including a utility tunnel, water line, gas line, sewer line, roof, parking lot, or road; or

(iii) projects that demolish and replace an existing building that is in extensive disrepair and cannot be fixed by repair or maintenance.

(e) In prioritizing capital improvements, the division may not allocate more than 10% of the funds that the Legislature appropriates for capital improvements to: (i) remodeling and aesthetic upgrades to meet state programmatic needs; or (ii) construct an addition to an existing building or facility.

(i) remodeling and aesthetic upgrades to meet state programmatic needs; or

(ii) construct an addition to an existing building or facility.

(f) The division may require an entity that benefits from a capital improvement project to repay the capital improvement funds from savings that result from the project.

(g) The division may provide capital improvement funding to a single project or to multiple projects within a single building or facility, even if the total cost of the project or multiple projects is $3,500,000 or more, if: (i) the capital improvement project is a project described in Subsection (1)(b)(iii); and (ii) the Legislature has not refused to fund the project with capital improvement funds.

(i) the capital improvement project is a project described in Subsection (1)(b)(iii); and

(ii) the Legislature has not refused to fund the project with capital improvement funds.

(h) In prioritizing and allocating capital improvement funding, the division shall comply with the requirement in Subsection 63B-23-101(2)(f).

(i) In developing the capital improvement list and priorities, the division shall require each state agency that requests an appropriation for a capital improvement project to: (i) submit a capital improvement project request; and (ii) complete and submit a project scoping document.

(i) submit a capital improvement project request; and

(ii) complete and submit a project scoping document.

(j) A project scoping document under Subsection (2)(i)(ii) shall address: (i) the need for the capital improvement project; and (ii) the appropriateness of the scope of the capital improvement project.

(i) the need for the capital improvement project; and

(ii) the appropriateness of the scope of the capital improvement project.

(k) The division shall verify the completion and accuracy of a project scoping document that a state agency submits under Subsection (2)(i)(ii).

(3) (a) Beginning July 1, 2020, the division shall implement a program to charge state agencies, except institutions included within the state system of higher education under Section 53B-1-102, lease payments for the agency's use and occupancy of space within a building. (b) Before July 1, 2020, the division shall: (i) conduct a market analysis of market lease rates for comparable space in buildings comparable to division-owned buildings; and (ii) establish lease rates for an agency's use and occupancy of a division-owned building. (c) The lease rates shall be: (i) consistent with market rates for comparable space in comparable buildings; (ii) calculated to cover: (A) an amortized amount for capital replacement; (B) an amount for capital improvements; and (C) operation and maintenance costs; and (iii) in proportion to legislative appropriations. (d) In making appropriations to cover lease payments under this Subsection (3), the Legislature shall create a line item, as defined in Section 63J-1-102, for each agency to fund the lease payments.

(a) Beginning July 1, 2020, the division shall implement a program to charge state agencies, except institutions included within the state system of higher education under Section 53B-1-102, lease payments for the agency's use and occupancy of space within a building.

(b) Before July 1, 2020, the division shall: (i) conduct a market analysis of market lease rates for comparable space in buildings comparable to division-owned buildings; and (ii) establish lease rates for an agency's use and occupancy of a division-owned building.

(i) conduct a market analysis of market lease rates for comparable space in buildings comparable to division-owned buildings; and

(ii) establish lease rates for an agency's use and occupancy of a division-owned building.

(c) The lease rates shall be: (i) consistent with market rates for comparable space in comparable buildings; (ii) calculated to cover: (A) an amortized amount for capital replacement; (B) an amount for capital improvements; and (C) operation and maintenance costs; and (iii) in proportion to legislative appropriations.

(i) consistent with market rates for comparable space in comparable buildings;

(ii) calculated to cover: (A) an amortized amount for capital replacement; (B) an amount for capital improvements; and (C) operation and maintenance costs; and

(A) an amortized amount for capital replacement;

(B) an amount for capital improvements; and

(C) operation and maintenance costs; and

(iii) in proportion to legislative appropriations.

(d) In making appropriations to cover lease payments under this Subsection (3), the Legislature shall create a line item, as defined in Section 63J-1-102, for each agency to fund the lease payments.