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7 LONG TITLE
8 General Description:
9 This bill modifies provisions relating to state surplus property.
10 Highlighted Provisions:
11 This bill:
12 ▸ modifies definitions applicable to the Division of Purchasing and General Services
13 and state surplus property;
14 ▸ modifies provisions relating to the administration of the state surplus property
15 program;
16 ▸ modifies property that is included within the definition of state surplus property; and
17 ▸ modifies provisions relating to the disposition of state surplus property with a
18 minimal value.
19 Money Appropriated in this Bill:
20 None
21 Other Special Clauses:
22 None
23 Utah Code Sections Affected:
24 AMENDS:
25 63A-2-101.5, as last amended by Laws of Utah 2013, Chapter 151
26 63A-2-102, as last amended by Laws of Utah 1997, Chapter 252
27 63A-2-103, as last amended by Laws of Utah 2013, Chapter 151
28 63A-2-104, as last amended by Laws of Utah 1997, Chapter 252
29 63A-2-105, as last amended by Laws of Utah 1997, Chapter 252
30 63A-2-401, as last amended by Laws of Utah 2013, Chapters 49 and 151
31 63A-2-405, as last amended by Laws of Utah 2013, Chapter 151
32 63A-2-408, as last amended by Laws of Utah 2013, Chapter 151
33 63A-2-409, as last amended by Laws of Utah 2013, Chapters 15 and 151
34 63A-2-410, as enacted by Laws of Utah 2013, Chapter 151
35 REPEALS AND REENACTS:
36 63A-2-411, as enacted by Laws of Utah 2013, Chapter 151
37 REPEALS:
38 63A-2-406, as renumbered and amended by Laws of Utah 2011, Chapter 207
39 63A-2-407, as renumbered and amended by Laws of Utah 2011, Chapter 207
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41 Be it enacted by the Legislature of the state of Utah:
42 Section 1. Section 63A-2-101.5 is amended to read:
43 63A-2-101.5. Definitions.
44 As used in this chapter:
45 (1) "Division" means the Division of Purchasing and General Services created under
46 Section 63A-2-101.
47 (2) "Federal surplus property" means surplus property of the federal government of the
48 United States.
49 (3) "Information technology equipment" means equipment [
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51 manipulating, storing, or transferring electronic data, including:
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55 (a) a computer;
56 (b) a smart phone, electronic tablet, personal digital assistant, or other portable
57 electronic device;
58 (c) a digital copier or multifunction printer;
59 (d) a flash drive or other portable electronic data storage device;
60 (e) a server; and
61 (f) any other similar device.
62 [
63 that:
64 (a) is attributable to a mental or physical impairment or a combination of mental and
65 physical impairments; and
66 (b) is likely to continue indefinitely.
67 [
68 [
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74 1949, 40 U.S.C. Sec. 549.
75 (6) "Purchasing director" means the director of the division appointed under Section
76 63A-2-102.
77 (7) "Smart phone" means an electronic device that combines a cell phone with a
78 hand-held computer, typically offering Internet access, data storage, and text and email
79 capabilities.
80 (8) "State agency" means any executive branch department, division, or other agency of
81 the state.
82 (9) "State surplus property" [
83 (a) means state-owned property, whether acquired by purchase, seizure, donation, or
84 otherwise:
85 [
86 [
87 (i) that is no longer being used by the state or no longer usable by the state;
88 (ii) that is out of date;
89 (iii) that is damaged and cannot be repaired or cannot be repaired at a cost that is less
90 than the property's value;
91 (iv) whose useful life span has expired; or
92 (v) that the state agency possessing the property determines is not required to meet the
93 needs or responsibilities of the state agency;
94 (b) includes:
95 (i) a motor vehicle;
96 (ii) equipment;
97 (iii) furniture;
98 (iv) information technology equipment; and
99 (v) a supply; and
100 (c) does not include:
101 (i) real property;
102 (ii) an asset of the School and Institutional Trust Lands Administration, established in
103 Section 53C-1-201;
104 (iii) a firearm or ammunition; or
105 (iv) an office or household item made of aluminum, paper, plastic, cardboard, or other
106 recyclable material, without any meaningful value except for recycling purposes.
107 (10) "State surplus property contractor" means [
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109 in the private sector under contract with the state to provide one or more services related to the
110 division's program for the management and disposition of state surplus property.
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121 Section 2. Section 63A-2-102 is amended to read:
122 63A-2-102. Director of division -- Appointment.
123 (1) The executive director [
124 of Purchasing and General Services with the approval of the governor.
125 (2) The purchasing director [
126 also the state's chief procurement officer.
127 Section 3. Section 63A-2-103 is amended to read:
128 63A-2-103. General services provided -- Subscription by state departments, state
129 agencies, and certain local governmental entities -- Fee schedule.
130 (1) The purchasing director [
131 (a) shall operate, manage, and maintain:
132 (i) a central mailing service; and
133 (ii) an electronic central store system for procuring goods and services;
134 (b) shall, except when a state surplus property contractor administers the state's
135 program for disposition of state surplus property, operate, manage, and maintain the state
136 surplus property program;
137 (c) shall, when a state surplus property contractor administers the state's program for
138 disposition of state surplus property, oversee the state surplus property contractor's
139 administration of the state surplus property program in accordance with Part 4, Surplus
140 Property Services; and
141 (d) may establish microfilming, duplicating, printing, addressograph, and other central
142 services.
143 (2) (a) Each state [
144 described in [
145 director's authority to a [
146 (b) An institution of higher education, school district, or political subdivision of the
147 state may subscribe to one or more of the services described in [
148 (1)(a)[
149 (3) (a) The purchasing director shall:
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151 (i) prescribe a schedule of fees to be charged for all services provided by the division
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154 division's internal service fund to the Rate Committee established in Section [
155 63J-1-410; and
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159 providing the services; and
160 [
161 (b) A market analysis under Subsection (3)(a)(iii) shall include a comparison of the
162 division's rates with the fees of other public or private sector providers [
163 services and rates are reasonably available.
164 Section 4. Section 63A-2-104 is amended to read:
165 63A-2-104. Delegation of general services to departments or agencies -- Writing
166 required -- Contents -- Termination.
167 (1) The purchasing director [
168 the approval of the executive director, may delegate, in writing, [
169 authority to perform or control any general services function to [
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171 (a) in the judgment of the executive director, the state [
172 requested the authority; and
173 (b) the state [
174 or control the functions.
175 (2) The purchasing director may delegate [
176 when the delegation would result in net cost savings or improved service delivery to the state
177 as a whole.
178 (3) The written delegation shall contain [
179 (a) a precise definition of each function to be delegated;
180 (b) a clear description of the standards to be met in performing each function
181 delegated;
182 (c) a provision for periodic administrative audits by the department; and
183 (d) a date on which the agreement shall terminate if not previously terminated or
184 renewed.
185 (4) An agreement to delegate functions to a state agency [
186 terminated by the department if the results of an administrative [
187 department [
188 Section 5. Section 63A-2-105 is amended to read:
189 63A-2-105. Director to approve certain purchases.
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191 machine shall submit a purchase request to the purchasing director [
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193 (2) The purchasing director shall review [
194 (1) to ensure that:
195 (a) the authority to perform those functions has been appropriately delegated to the
196 state agency under this part;
197 (b) the equipment meets proper specifications; and
198 (c) the benefits from the state agency's purchase of the equipment outweigh the benefits
199 of having the same functions performed by the [
200 division.
201 Section 6. Section 63A-2-401 is amended to read:
202 63A-2-401. Utah surplus property program -- Definitions -- Administration.
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217 (1) The division shall determine the appropriate method for disposing of state surplus
218 property.
219 (2) In accordance with Title 63G, Chapter 6a, Utah Procurement Code, the division
220 may contract with one or more state surplus property contractors to assist with the disposition
221 of state surplus property by:
222 (a) online auction;
223 (b) live auction;
224 (c) pick up, sale, and disposal,
225 (d) disposal;
226 (e) destruction; or
227 (f) another method approved by the purchasing director.
228 (3) (a) A state agency shall use the services of the state surplus property contractors
229 under contract with the division for the disposition of state surplus property unless the
230 purchasing director authorizes an exception in writing.
231 (b) Justification for an exception under Subsection (3)(a) includes:
232 (i) a security issue;
233 (ii) the need for restricted public access to the state surplus property;
234 (iii) a lack of adequate storage space; and
235 (iv) an issue specific to the state agency, as approved by the purchasing director.
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237 Chapter 3, Utah Administrative Rulemaking Act, the division shall make rules establishing a
238 surplus property program that meets the requirements of this chapter by following the
239 procedures and requirements of Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
240 (b) The rules under Subsection (4)(a) shall include:
241 (i) procedures and requirements for transferring state surplus property directly from
242 one state agency to another [
243 (ii) procedures and requirements governing division administration requirements that
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245 (iii) requirements governing purchase priorities;
246 (iv) requirements governing accounting, reimbursement, and payment procedures;
247 (v) [
248 (vi) requirements and procedures for the disposition of firearms;
249 (vii) [
250 charges assessed by the division for services and handling;
251 (viii) [
252 location of public sales of state surplus property; [
253 (ix) procedures governing the [
254 equipment; and
255 (x) procedures governing the transfer of information technology equipment by state
256 agencies directly to public schools.
257 (c) Except as it relates to a vehicle or federal surplus property, the rules described in
258 Subsection [
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260 directly to another state agency.
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270 (5) The division may:
271 (a) establish facilities to store [
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273 (b) hold public sales of state surplus property at geographically dispersed locations
274 throughout the state;
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277 surplus property, establish the price at which the surplus property shall be sold; and
278 [
279 proceeds [
280 requesting the sale [
281 reduced by a fee approved in accordance with [
282 63A-2-103(3) to pay the division's costs of administering the state surplus property program.
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287 this part, each state agency shall divest and acquire state surplus property only by participating
288 in the division's program.
289 (7) A state agency may declare property owned by the state agency to be state surplus
290 property by making a written determination that the property:
291 (a) is excess property that is no longer being used;
292 (b) has exceeded its useful life;
293 (c) is no longer usable;
294 (d) (i) is damaged; and
295 (ii) (A) cannot be repaired; or
296 (B) cannot be repaired at a cost that is less than the property's value; or
297 (e) is no longer required to meet the state agency's needs or responsibilities.
298 Section 7. Section 63A-2-405 is amended to read:
299 63A-2-405. Charges and fees assessed for surplus property.
300 [
301 63J-1-504, the division may:
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303 transfer of state surplus property or of federal surplus property [
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306 warehousing, distributing, or transferring [
307 property; and
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309 property that is found not to be usable for the purpose for which it was procured.
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317 Section 8. Section 63A-2-408 is amended to read:
318 63A-2-408. Authority of state or local subdivision to receive property --
319 Revocation of authority of officer.
320 (1) Notwithstanding any other provision of law, the governing board or the executive
321 director of any state department, instrumentality, or agency that is not a state agency, or the
322 legislative body of any city, county, school district, or other political subdivision may by order
323 or resolution give any officer or employee the authority to:
324 [
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326 through the division under the property act; and
327 [
328 to comply with the terms and conditions of those transfers[
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333 (2) The authority conferred upon any officer or employee by an order or resolution
334 remains in effect until:
335 (a) the order or resolution is revoked; and
336 (b) the division has received written notice of the revocation.
337 Section 9. Section 63A-2-409 is amended to read:
338 63A-2-409. Disposal of certain surplus property.
339 This part does not apply to disposition by:
340 (1) the legislative branch of surplus property that is information technology equipment
341 [
342 establishes its own policy for disposition, by the legislative branch, of surplus property that is
343 information technology equipment [
344 (2) the Department of Transportation of surplus personal property that was acquired as
345 part of a transaction or legal action by the Department of Transportation acquiring real property
346 for a state transportation purpose.
347 Section 10. Section 63A-2-410 is amended to read:
348 63A-2-410. State surplus property contractor -- Deposit of proceeds.
349 (1) [
350 purchasing director determines, issue a solicitation under Title 63G, Chapter 6a, Utah
351 Procurement Code, and award a contract to a person in the private sector to provide services
352 necessary to administer the state's program for disposition of state surplus property.
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404 (2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
405 division shall make rules pertaining to the process and procedures relating to services provided
406 by a person awarded a contract under Subsection (1).
407 Section 11. Section 63A-2-411 is repealed and reenacted to read:
408 63A-2-411. Disposal of state surplus property with minimal value.
409 (1) As used in this section, "minimal value" means a value of less than $100.
410 (2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
411 division shall make rules that permit a state agency to dispose of property with a minimal value
412 that the state agency has declared to be state surplus property as provided in Subsection
413 63A-2-401(7).
414 (3) The division's rules under Subsection (1) shall permit a state agency to dispose of
415 state surplus property with a minimal value by:
416 (a) destroying the property;
417 (b) disposing of the property as waste; or
418 (c) donating the property to:
419 (i) a charitable organization; or
420 (ii) an employee of the state agency.
421 (4) Property of a state agency is presumed to have a minimal value if the property is
422 not purchased after the state agency offers the property for sale to the public at a price above
423 $100 for at least seven days:
424 (a) through an online auction;
425 (b) through a live auction;
426 (c) at a retail location managed by the division; or
427 (d) through another sale method approved by the director.
428 Section 12. Repealer.
429 This bill repeals:
430 Section 63A-2-406, Rulemaking on giving priority to state and local agencies in
431 purchasing surplus property -- Rulemaking on the sale or use of a personal handheld
432 electronic device.
433 Section 63A-2-407, Transfer of information technology equipment for persons
434 with a disability.