63G-6-417 - Period of time for contract of supplies. - Utah Statutes

63G-6-417. Period of time for contract of supplies.
(1) Unless otherwise provided by law, a contract for supplies or services may be enteredinto for any period of time considered to be in the best interests of the state; provided that theterm of the contract and conditions of renewal or extension, if any, are included in the solicitationand funds are available for the first fiscal period at the time of contracting. Payment andperformance obligations for succeeding fiscal periods shall be subject to the availability andappropriation of funds.
(2) Prior to the utilization of a multiyear contract, it shall be determined in writing thatestimated requirements cover the period of the contract and are reasonably firm and continuingand that such a contract will serve the best interests of the state by encouraging effectivecompetition or otherwise promoting economies in state procurement.
(3) When funds are not appropriated or otherwise made available to support continuationof performance in a subsequent fiscal period, the contract shall be cancelled and the contractorshall be reimbursed for the reasonable value of any nonrecurring costs incurred but not amortizedin the price of the supplies or services delivered under the contract. The cost of cancellation maybe paid from any appropriations available for that purpose.

Renumbered and Amended by Chapter 382, 2008 General Session