2011 California Code
Government Code
TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980]
ARTICLE 2. State Property
Section 14669.13

(a) The Director of General Services may enter into an agreement to lease-purchase finance or lease with an option to purchase, with an initial option purchase price that exceeds two million dollars ($2,000,000), for the purpose of providing approximately 230,000 net square feet of office, warehouse, parking, and related facilities to consolidate the operations of state agencies in Long Beach. The acquisition of any real property by lease, lease-purchase, or lease with an option to purchase as provided in this subdivision shall be made in accordance with the bidding procedures described in subdivision (b) of Section 14669.

(b) The State Public Works Board may issue revenue bonds, negotiable notes, or negotiable bond anticipation notes pursuant to the State Building Construction Act of 1955 (Part 10b (commencing with Section 15800)) to finance the acquisition of the facilities authorized in subdivision (a). The board may borrow funds for project costs from the Pooled Money Investment Account pursuant to Sections 16312 and 16313.

(1) The amount of revenue bonds, negotiable notes, or negotiable bond anticipation notes to be sold shall equal the cost of acquisition, including land, construction, preliminary plans, and working drawings, construction management and supervision, other costs relating to the design and construction of the facilities, exercise of any purchase option, and any additional sums necessary to pay interim and permanent financing costs. The additional amount may include interest and a reasonable required reserve fund.

(2) Authorized costs of the facilities, including land acquisition, preliminary plans, working drawings and construction shall not exceed seventy-five million dollars ($75,000,000).

(3) Notwithstanding Section 13332.11, the State Public Works Board may authorize the augmentation of the amount authorized pursuant to this subdivision by up to 10 percent of the amount specifically authorized.

(c) The net present value of the cost to acquire and operate the facilities authorized in subdivision (a) may not exceed the net present value of the cost to lease and operate an equivalent amount of office space, including the present facilities, over the same time period. In performing this analysis, interest rates, discount rates, and the consumer price index figures shall be obtained from the Treasurer.

(d) The Director of General Services may sell, lease, or exchange, based on current market value and upon any terms and conditions, and with any reservations and exceptions, deemed by the director to be in the state s best interest, the existing state office and parking facilities located at 245 West Broadway Street in the City of Long Beach. The net proceeds, if any, from the sale, lease, or exchange shall be applied toward any obligations undertaken by the director in securing consolidated facilities as authorized by this section.

(e) The director shall not enter into any agreement to acquire facilities, as specified in subdivision (a), any sooner than 45 days after notification, including the information specified in subdivision (c), to the Chairperson of the Joint Legislative Budget Committee.

(Added by Stats. 1994, Ch. 659, Sec. 2. Effective January 1, 1995.)