2006 Utah Code - 63A-5-209 — Building appropriations supervised by director -- Disposition of surplus.

     63A-5-209.   Building appropriations supervised by director -- Disposition of surplus.
     (1) The director shall:
     (a) supervise the expenditure of funds in providing plans, engineering specifications, sites, and construction of the buildings for which legislative appropriations are made and shall specifically allocate money appropriated when more than one project is included in any single appropriation without legislative directive;
     (b) (i) expend the amount necessary from appropriations for planning, engineering, and architectural work; and
     (ii) allocate amounts from appropriations necessary to cover expenditures previously made from the planning fund in the preparation of plans, engineering, and specifications shall be returned to the fund; and
     (c) hold in a statewide contingency reserve the amount budgeted for contingencies in appropriations for the construction or remodeling of facilities, for contingencies which may be over and above all amounts obligated by contract for planning, engineering, and architectural work, sites, and construction contracts.
     (i) The amount budgeted for contingencies shall be based on a sliding scale percentage of the construction cost. The sliding scale shall range from 4-1/2% to 6-1/2% for new construction, and from 6% to 9-1/2% for remodeling projects.
     (ii) The statewide contingency funds shall be held by the director to cover costs such as change orders and other unforeseen, necessary costs beyond those specifically budgeted for the project.
     (iii) (A) The Legislature shall annually review the percentage and the amount held in the statewide contingency reserve.
     (B) The Legislature may reappropriate to other building needs, including the cost of administering building projects, any amount from the statewide contingency reserve that is determined to be in excess of the reserve required to meet future contingency needs.
     (2) The director shall hold in a separate reserve those state appropriated funds accrued through bid savings and project residual as a project reserve.
     (a) The director may authorize the use of project reserve funds only for the award of contracts in excess of the construction budget if this is required to meet the intent of the project.
     (b) The Legislature shall annually review the amount held in the project reserve for possible reallocation by the Legislature to other building needs, including the cost of administering building projects.
     (3) If any part of the appropriation for a building project, other than the part set aside for the Utah Percent-for-Art Program under Title 9, Chapter 6, Part 4, remains unencumbered after the award of construction and professional service contracts, and establishing a reserve for fixed and moveable equipment, the balance of the appropriation shall be dedicated to the project reserve and does not revert to the General Fund.
     (4) (a) One percent of the amount appropriated for the construction of any new state building or facility may be appropriated and set aside for the Utah Percent-for-Art Program administered by the Division of Fine Arts under Title 9, Chapter 6, Part 4.
     (b) The director shall release to the Division of Fine Arts any funds included in an appropriation to the division that are designated by the Legislature for the Utah Percent-for-Art Program.

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     (c) Funds from appropriations for any state building or facility of which any part is derived from the issuance of bonds, to the extent it would jeopardize the federal income tax exemption otherwise allowed for interest paid on bonds, may not be set aside.

Amended by Chapter 20, 2002 Special Session 5