2006 Utah Code - 17A-3-907 — Leasing contract provisions authorized.

     17A-3-907.   Leasing contract provisions authorized.
     (1) A leasing contract may provide, as part of the lease rental for the leased property, that the lessee shall:
     (a) pay all taxes and assessments levied against or on account of the leased property or rentals from it;
     (b) maintain insurance on the leased property for the benefit of the building authority and the holders of its bonds; and
     (c) assume all responsibility for repair, replacement, alterations, or improvements to the leased property during the term of the lease.
     (2) A leasing contract may provide that the public body may sublease all or specified portions of a project to:
     (a) another public body;
     (b) the state;
     (c) a nonprofit corporation, if the nonprofit corporation was formerly a public body; and
     (d) a private party if the authority or public body:
     (i) intends to own the project throughout the useful life of the project; and
     (ii) determines that such ownership of the project furthers a legitimate public purpose.
     (3) If a project has been so sublet, the sublessor shall continue to be responsible for the payment of rent due under its lease contract with the authority.

Amended by Chapter 118, 1996 General Session