South Carolina General Assembly
110th Session, 1993-1994

Bill 434


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Introducing Body:               Senate
Bill Number:                    434
Primary Sponsor:                McConnell
Committee Number:               30
Type of Legislation:            GB
Subject:                        Procurement, governmental
                                leases
Residing Body:                  House
Current Committee:              Ways and Means
Computer Document Number:       CYY/15106SD.93
Introduced Date:                19930217
Date of Last Amendment:         19930408
Last History Body:              House
Last History Date:              19930414
Last History Type:              Introduced, read first time,
                                referred to Committee
Scope of Legislation:           Statewide
All Sponsors:                   McConnell
Type of Legislation:            General Bill



History


Bill  Body    Date          Action Description              CMN  Leg Involved
____  ______  ____________  ______________________________  ___  ____________

434   House   19930414      Introduced, read first time,    30
                            referred to Committee
434   Senate  19930413      Read third time, sent to House
434   Senate  19930408      Amended, read second time,
                            ordered to third reading with
                            notice of general amendments
434   Senate  19930407      Committee Report: Favorable     11
                            with amendment
434   Senate  19930217      Introduced, read first time,    11
                            referred to Committee

View additional legislative information at the LPITS web site.


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

Indicates Matter Stricken
Indicates New Matter

COMMITTEE AMENDMENT ADOPTED

April 8, 1993

S. 434

Introduced by SENATOR McConnell

S. Printed 4/8/93--S.

Read the first time February 17, 1993.

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 11-35-1595 SO AS TO PROVIDE FOR THE MAXIMUM SPACE ALLOCATION FOR GOVERNMENTAL BODIES ENTERING INTO NEW LEASES AND FOR EXCEPTIONS; TO AMEND SECTION 11-35-1510, RELATING TO METHODS OF SOURCE SELECTION UNDER THE PROCUREMENT CODE, SO AS TO INCLUDE A REFERENCE TO SECTION 11-35-1595; AND TO AMEND SECTION 11-35-1590, RELATING TO LEASING OF REAL PROPERTY FOR GOVERNMENTAL BODIES, SO AS TO REVISE THE REQUIREMENTS OF A GOVERNMENTAL BODY WHEN IT NEEDS TO ACQUIRE REAL PROPERTY FOR ITS OPERATIONS WHEN STATE-OWNED PROPERTY IS NOT AVAILABLE, AND TO PROVIDE FOR REGULATIONS OF THE BUDGET AND CONTROL BOARD CONCERNING PROCEDURES FOR COMPETITIVE PROPOSALS TO ENSURE THE MOST COST-EFFECTIVE PROCUREMENT OF LEASED SPACE.

Amend Title To Conform

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. The 1976 Code is amended by adding:

"Section 11-35-1595. (A) Except as otherwise authorized in this section, the maximum space allocation for governmental bodies entering into new leases is, for:

(1) an agency director or an employee with similar duties and responsibilities: three hundred square feet;

(2) an assistant agency director or an employee with similar duties and responsibilities: two hundred twenty-five square feet;

(3) a supervisory or professional position: one hundred fifty square feet;

(4) a clerical position: equal to an average of seventy-five square feet;

(5) all other space needs including, but not limited to, reception areas, conference rooms, storage areas, or classrooms: as determined by the Division of General Services. In determining the maximum space allocation for these space needs, the division shall consider the size of the governmental body, the duties, responsibilities, and services provided by the governmental body, the convenience to the public, and other factors the division determines are necessary to achieve optimum space usage. The division shall require a governmental body to set out its space needs in writing.

(B) The division may refuse to approve a lease agreement when allocations exceed the statutory maximums or when, in the judgment of the director of the division, the lease proposal is not cost effective based upon the provisions of this subarticle and related regulations. The division, in its discretion, may approve lease agreements exceeding the statutory maximums provided in this section if the governmental body demonstrates through written documentation that there is a justifiable need for additional space or that an alteration of the proposed leased space to conform to the provisions of this section is not cost effective.

(C) Nothing in this chapter shall apply to the renewal of leases entered into before the effective date of this section."

SECTION 2. Section 11-35-1510 of the 1976 Code is amended to read:

"Section 11-35-1510. Unless otherwise provided by law, all state contracts shall must be awarded by competitive sealed bidding, pursuant to Section 11-35-1520, except as provided in:

(1) Section 11-35-1250 (Authority to Contract for Auditing Services);

(2) Section 11-35-1260 (Authority to Contract for Legal Services);

(3) Section 11-35-1270 (Authority to Contract for Certain Services);

(4) Section 11-35-1530 (Competitive Sealed Proposals);

(5) Section 11-35-1540 (Negotiations After Unsuccessful Competitive Sealed Bidding);

(6) Section 11-35-1550 (Small Purchases);

(7) Section 11-35-1560 (Sole Source Procurements);

(8) Section 11-35-1570 (Emergency Procurements);

(9) Section 11-35-1580 (Procurement of Information Technology);

(10) Section 11-35-1590 (Leasing of Real Property for Governmental Bodies);

(11) Section 11-35-1595 (Maximum Space Allocation for Governmental Bodies);

(12) Section 11-35-3020 (Construction Procurement Procedures);

(12)(13) Section 11-35-3220 (Architect-Engineer, Construction Management and Land Surveying Services Procurement Procedures);

(13)(14) Section 11-35-3230 (Exception for Small Architect-Engineer and Land Surveying Services Contracts)."

SECTION 3. Section 11-35-1590 of the 1976 Code is amended to read:

"Section 11-35-1590. (1)(A) Designation of Board as Single Central Broker. The board is hereby designated as the single central broker for the leasing of real property for governmental bodies. No governmental body shall may enter into any a lease agreement or renew any an existing lease except in accordance with the provisions of this Section section.

(2)(B) Notification as to Need When State-Owned Property is Unavailable. When any a governmental body needs to acquire real property for its operations or any a part thereof of its operations and the Division of General Services determines that state-owned property is not available, it the governmental body shall notify request that the division of General Services of review its requirement requirements. A request must be submitted on rental request forms prepared by the division. Such The forms shall must indicate the amount and location of space desired, the parking requirements, the purpose for which it shall is to be used, the proposed date of occupancy, and such other information as the division may require to ensure that competition is encouraged in the acquisition of leased space.

Upon receipt of any such a request, the division shall conduct an investigation of available rental space which would adequately meet meets the governmental body's requirements, including specific locations which may be suggested and preferred by the governmental body concerned. This investigation must include an analysis of the cost effectiveness of a move or expansion through a review of estimated moving costs, new furniture or equipment purchases associated with the move as certified by the agency. This investigation also must include installation expenses for telephone, information technology, or other items, loss of undepreciated assets, and upfitting or permanent improvement costs such as floor coverings, wall coverings, decorating, or structural improvements for the specific locations under consideration. If the director of the division determines, based upon the investigation, that a governmental body's requirements are too restrictive to facilitate adequate competition or to facilitate a cost-effective procurement of leased space the division may require the governmental body to modify its requirements. When suitable space has been located which the governmental body and the division agree meets necessary requirements and standards for state leasing as prescribed in by this subarticle and the regulations of the board as provided for in subsection (3) (C) of this Section section, the division shall give its written approval to the governmental body to enter into a lease agreement. In the event If the governmental body and does not agree with the division fail to reach agreement with regard to the appropriate property for leasing or a decision rendered by the division pursuant to this subarticle, the controversy shall must be referred to the board which shall make a final determination of the matter. All proposed lease renewals shall must be submitted to the division by the time specified by the division it specifies.

The division may not give its written approval to the governmental body to enter into a lease agreement until the division verifies that adequate funds exist for the lease payments and the governmental body certifies that it has funds in its existing accounts to pay additional lease payments and related costs. A transfer of funds by a governmental body that has been made or is necessary to meet lease payment obligations and related costs under a proposed lease agreement must be reported to the division before its approval of the lease agreement. If the lease is approved by the division, actual transfers made to pay lease obligations and related costs also must be reported by the governmental body to the State Bidding Practices Committee at the end of each fiscal year in which transfers are made. These requirements are in addition to other provisions regarding the transfer of funds among the accounts within a governmental body.

(3)(C) Promulgation of Regulations. The board shall promulgate regulations to implement the provisions of this Section section which shall include:

(a) Procedures procedures for governmental bodies to apply for rental space.;

(b) Flexible flexible cost standards for rental space.;

(c) Procedures procedures for competitive bidding where feasible proposals to ensure the most cost-effective procurement of leased space and provide objective criteria for determining when competition is not feasible. The division shall certify, based upon written documentation, that competition is not feasible in those instances where a determination is made and approval is granted by the division to acquire leased space without competition;

(d) uniform standards for determining space needs and space allocation;

(e) guidelines for evaluating lease proposals giving weight not only to location, but to the policy of the General Assembly which is to rent the most cost-effective space considering the duties, responsibilities, and services provided by the governmental body, the convenience to the public, the safety of the employees, the condition of the building, and the consolidation of the governmental body in one location;

(f) guidelines to ensure that, before entering into a lease, governmental bodies review and consider the acquisition of surplus property before new equipment or new furniture is purchased."

SECTION 4. This act takes effect upon approval by the Governor.

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