Download as PDF
56.803 Procedure when agency requests space.
(1)
(2)
(3)
(4)
(5)
(6)
When an agency determines that it will need office or other space, the agency
shall submit a request for the acquisition of the additional space to the
Department for Facilities Management in the Finance and Administration
Cabinet. Except in the case of an emergency as described at KRS 56.805(3),
an agency shall submit its space request in writing to the department. In the
case of an emergency, an agency shall communicate its space needs to the
department pursuant to KRS 56.805(3) as soon as an agency knows that it will
need the space. If the commissioner of the Department for Facilities
Management determines that insufficient space has been allocated to the
agency making the request and that it is appropriate to lease additional space
for the agency making the request, the commissioner shall acquire the space
required by lease as provided by KRS 43.050, 48.111, and 56.800 to 56.823.
The Department for Facilities Management shall review each agency space
request to determine whether space suitable to meet the agency's reasonable
needs may be available in a state-owned or occupied building. If it is
determined that there is suitable space available in a state-owned or occupied
building, the commissioner shall notify the agency. A copy of the notice shall be
kept on file.
If it is determined that there is no suitable space available in a state-owned or
occupied building, the department shall comply with the procedures set forth in
this section in the leasing of space, except as otherwise provided in KRS
43.050, 48.111, and 56.800 to 56.823.
The department shall draw up general requirement specifications for the space
required. These general requirement specifications shall not be changed
except, at the discretion of the commissioner, when the lease process is
initiated again pursuant to paragraph (c) of subsection (15) of this section or
pursuant to paragraph (b) of subsection (16) of this section. The general
requirement specifications shall be kept on file.
(a) In soliciting the interest of lessors who have property to let in a county
where space is sought, the department shall give adequate public notice
to reasonably inform persons having property to let within the county of
the type of space required, the general location of the property, and the
number of square feet needed. The notice may include posting on the
Internet or newspaper advertisements. Each notice shall contain general
information concerning the agency requirements for the space sought and
shall state the last time, date, and place that written responses shall be
received. When it is anticipated that a lease may be negotiated containing
deviations or variations from the terms and conditions of the state
standard lease form prescribed by the Division of Real Properties, within
the department, any deviations or variations shall be stated in the notice.
(b) The Department for Facilities Management may use any means available
to notify landlords that a notice has been given.
A property owner, or his representative, shall respond in writing on or before
the time and date designated in the notice and shall state in the writing the type
and location of the property, the name and address of the property owner, and
the date of availability of the property. The department shall deal only with
(7)
(8)
(9)
(10)
(11)
(12)
(13)
individuals who have submitted written responses on or before the time and
date designated in the notice.
All written responses received on or before the time and date designated shall
be opened or downloaded at the same time, publicly read or posted, and kept
on file by the department.
Within ten (10) business days of the opening of written responses, the
department shall transmit general requirement specifications to each person
who submitted a written response on or before the time and date designated.
The same general requirement specifications shall be transmitted to each
person. The department shall state whether a reverse auction will be used to
determine any terms of the proposals and shall specify the procedures for the
reverse auction.
After the general requirement specifications have been transmitted, except as
provided in paragraph (a) of subsection (13) of this section, the commissioner,
and department employees under his supervision, may negotiate with persons
who submitted written responses on or before the time and date designated. If
in the course of negotiations, a person proposes terms and conditions of lease
different from those contained in the state standard lease form which are
determined to be in the Commonwealth's best interest to accept, but no
mention of the acceptability thereof has been made in the notice given
pursuant to subsection (5) of this section, all other persons who submitted
written responses on or before the time and date designated shall be notified of
the terms and conditions and shall be allowed to incorporate the terms and
conditions in written proposals when submitted pursuant to subsection (12) of
this section. A copy of each notice shall be kept on file.
The department shall inspect each space proposed to be leased to determine
its suitability to the reasonable needs of the agency for whose use the property
is sought. The owner of the property, or the owner's representative, shall
provide access to the property for the inspection. A report of the findings about
each property inspected shall be submitted on a site evaluation form to the
commissioner of the department. Completed site evaluation forms shall be kept
on file.
After the commissioner has reviewed the completed site evaluation forms, the
commissioner shall inform each owner of property, or his representative, of the
steps necessary to bring the property up to general and specific requirement
specifications. The commissioner shall also invite each person to submit a
written proposal on a form created by the Department for Facilities
Management. A copy of the form shall be provided to each bidder. The
department may require any terms of the proposal to be the subject of a
reverse auction. A written proposal shall constitute a best and final offer. The
department shall not consider a written proposal unless it is submitted on a
department form on or before the time and date designated.
All written portions of the proposals submitted on or before the time and date
designated shall be opened at the same time, publicly identified by the name of
the property owner and the location of the property, and kept on file.
Except pursuant to paragraph (b) of subsection (15) of this section, when the
requirements of paragraph (a) of this subsection shall not apply, from the time
that written proposals are opened until the awarding of a lease, the
department:
(a) Shall not negotiate or agree to changes in the terms of written proposals
except to correct technical errors;
(b) Shall log in all contacts between department employees and any person
with an interest in the awarding of a lease. The log shall state the time,
date, place, and a summary of the substance of each contact. Each log
entry shall be signed by the department employee who was contacted.
After the lease is awarded, the log shall be kept as a department record.
(14) (a) The commissioner shall assess the proposals, taking into account factors
including, but not limited to: consultation with the head of the agency for
whose use the space is sought; the location and accessibility of the
property to the public; its condition and state of repair; its conformity with
the requirements of occupational health and safety regulations; its
conformity with applicable state fire, health, safety and sanitation
requirements; the proposed rental rates; utility and janitorial costs; agency
moving costs; any terms of the proposal determined through a reverse
auction; and whether the property proposed is in substantial conformity
with the general and specific requirement specifications.
(b) The commissioner shall give preference to properties in areas which have
received, within the previous five (5) year period, state community
development funds for revitalization if properties are offered at a
competitive rate and meet the provisions of paragraph (a) of this
subsection.
(15) The commissioner, relying exclusively on his assessment made pursuant to
subsection (14) of this section, shall:
(a) Choose the best proposal in the interest of the Commonwealth;
(b) Be permitted to negotiate with a potential lessor if he was the only
responsive and responsible potential lessor who submitted a proposal; or
(c) Except as provided in paragraph (b) of this subsection, reject all
proposals when none is in the Commonwealth's best interest to accept as
assessed according to the factors stated in subsection (14) of this section
and may, at his discretion, initiate the lease process again.
(16) (a) The commissioner shall award or decline to award a lease to the potential
lessor who submitted the best proposal pursuant to paragraph (a) of
subsection (15) of this section or who negotiated with the commissioner
pursuant to paragraph (b) of subsection (15) of this section. However, the
commissioner shall not award a lease to a potential lessor who negotiated
with the commissioner pursuant to paragraph (b) of subsection (15) of this
section if that potential lessor's proposal after negotiations was not in the
Commonwealth's best interest to accept as assessed according to the
factors stated in subsection (14) of this section, and the commissioner
shall not award a lease to a person other than a potential lessor
prescribed in this paragraph.
(b) If the commissioner declines to award a lease, he may, at his discretion,
initiate the lease process again.
(17) The commissioner shall put in writing the justifications for his decisions made
pursuant to subsections (15) and (16) of this section. This writing shall be kept
on file.
(18) The commissioner, all department employees under the commissioner's
supervision who performed a site evaluation or negotiated a lease agreement
under this section, the head of the agency that will occupy the leased space,
and all agency employees who were directly involved with a site evaluation or
lease negotiations shall sign separate certificates, devised by the
commissioner, which shall provide the signatory with the option of certifying
that, to the best of his knowledge, he is either aware or unaware of
circumstances which may constitute a violation of KRS 56.800 to 56.823. The
Department for Facilities Management shall keep the certificates on file and
shall inform state agencies of the legal requirements concerning lease
certification on an annual basis.
(19) The department shall notify each person who submitted a written response on
or before the time and date designated in the public notice pursuant to
subsection (6) of this section, but who was not awarded the lease, of the
selected property to be leased, and that the person has a right to examine the
leasing records relevant to the lease that was awarded. If the Capital Projects
and Bond Oversight Committee, pursuant to KRS 56.823(2), will review the
awarding of a lease, each notice shall state that fact. A copy of each notice
shall be kept on file.
(20) Prior to finalization of the lease, the department or the leasing agency shall
inspect the property to ensure that any changes described in subsection (11) of
this section necessary to bring the property up to specifications have been
completed in a manner satisfactory to the agency or department. At the
conclusion of the inspection, the owner shall be advised in writing by the
department either that the property is approved for occupancy and the lease
may be finalized, or that there remain changes to be completed or corrected
before the lease may be finalized.
Effective:July 15, 2010
History: Amended 2010 Ky. Acts ch. 63, sec. 10, effective July 15, 2010. -Amended 2009 Ky. Acts ch. 78, sec. 45, effective June 25, 2009. -- Amended
2000 Ky. Acts ch. 47, sec. 1, effective July 14, 2000; and ch. 63, sec. 2,
effective July 14, 2000. -- Amended 1998 Ky. Acts ch. 120, sec. 27, effective
July 15, 1998; and ch. 539, sec. 2, effective July 15, 1998. -- Amended 1992 Ky.
Acts ch. 343, sec. 1, effective July 14, 1992. -- Created 1990 Ky. Acts ch. 512,
sec. 4, effective July 13, 1990.
Legislative Research Commission Note (9/19/97). An erroneous reference to
KRS 58.823 in subsection (3) of this statute has been corrected to read KRS
56.823 to correct an inadvertent mistake in codifying 1990 Ky. Acts ch. 512,
sec. 4.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.