56.491 Approval required for certain projects -- Conditions -- Exceptions. - Kentucky Statutes

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56.491 Approval required for certain projects -- Conditions -- Exceptions. (1) No state agency shall have power or authority to make plans and specifications, provide public notice of invitations for bids, let contracts, or incur any financing
commitments, either in the way of a charge against public funds or in the way of
negotiations for issuance of revenue bonds, for any capital construction projects
involving the improvement of lands or the construction, alteration, reconstruction,
or major repair of any building or other structure, or sewage disposal or water
supply system, requiring the expenditure of more than two hundred fifty thousand
dollars ($250,000) without first securing the approval of the Finance and
Administration Cabinet. (2) The state agency seeking the approval shall submit to the Finance and Administration Cabinet a general description of the proposed project, with the
detailed information the cabinet may require. Review of construction plans for
conformance with the Uniform State Building Code shall be conducted by the
Department of Housing, Buildings and Construction. The Finance and
Administration Cabinet shall not approve any project requiring its approval in any
instance if it finds that: the project is not needed; the proposed method of financing
is not sound; the project will exceed the amount of the funds available therefor; the
work contemplated will be insufficient to accomplish the purpose of the project; or
after providing for the ordinary recurring expenses of government and debt service
and for payments under existing allotments for extraordinary expenses and capital
outlay, cash will not be available in the State Treasury to promptly pay for the work
during the biennium, or except as provided in subsection (5) of this section, that the
work is to be done by employees of the agency. (3) The finding of the Finance and Administration Cabinet shall be final, except in cases where the issuance and sale of bonds is proposed, in which cases the cabinet
shall submit its findings to the commission for final approval, modification, or
disapproval. (4) Any capital construction project, the total cost of completion of which the Finance and Administration Cabinet determines will exceed two hundred fifty thousand
dollars ($250,000), shall be contracted for on a competitive bid basis, and the
execution of the contracts shall be approved and authorized by the cabinet. When a
capital construction project has been approved as provided in this section, in whole
or in part, the cabinet shall prepare the plans and specifications, provide public
notice of invitations for bids, award the contracts, supervise the construction, and
handle the financial negotiations on behalf of the requesting state agency; or with
prior written approval, the cabinet may authorize a state agency to do so with
delegated authority of the cabinet. (5) A capital construction project, the total cost of completion of which the Finance and Administration Cabinet determines will not exceed two hundred fifty thousand
dollars ($250,000), may be performed by the employees of the requesting agency or
by individuals hired specifically for the project who shall be exempt from the
requirements of KRS Chapter 18A, if the project is approved and authorized by the
cabinet. Necessary materials and supplies shall be procured in accordance with the standard purchasing procedures and policies of the cabinet as defined in KRS
Chapter 45A. (6) This section shall not apply to capital outlays to the Department of Highways for roads and bridges. (7) This section shall not apply to capital outlays by the Justice and Public Safety Cabinet for repair, maintenance, improvement, or expansion of present correctional
facilities on which projects inmates are used. Any capital construction project to be
performed by the Justice and Public Safety Cabinet shall be approved and
authorized by the Finance and Administration Cabinet. (8) This section shall not apply to surveys capable of being performed by employees of the Department of Fish and Wildlife Resources. Boundary surveys or surveys
involving property lines shall be performed by or under the supervision of an
employee possessing a professional land surveyor license. Effective: July 15, 2010
History: Amended 2010 Ky. Acts ch. 24, sec. 52, effective July 15, 2010. -- Amended 2009 Ky. Acts ch. 72, sec. 1, effective June 25, 2009. -- Amended 2007 Ky. Acts
ch. 85, sec. 127, effective June 26, 2007. -- Amended 2006 Ky. Acts ch. 127, sec. 1,
effective July 12, 2006. -- Amended 2000 Ky. Acts ch. 225, sec. 2, effective July 14,
2000. -- Amended 1998 Ky. Acts ch. 120, sec. 24, effective July 15, 1998. --
Amended 1994 Ky. Acts ch. 15, sec. 1, effective July 15, 1994.