No. 40609 (New Rule): Rule R661-14. Heavy Equipment Purchase and Repair Program

(New Rule)

DAR File No.: 40609
Filed: 07/15/2016 11:30:40 PM

RULE ANALYSIS

Purpose of the rule or reason for the change:

This rule is required by Subsection 51-10-205(4)(a).

Summary of the rule or change:

This rule details the requirements to obtain UNTF funds to purchase heavy equipment.

Statutory or constitutional authorization for this rule:

• Subsection 51-10-205(4)(a)

Anticipated cost or savings to:

the state budget:

There are no anticipated costs or savings to state budget because this rule sets out the requirements for obtaining UNTF funds for the purchase of heavy equipment.

local governments:

There are no anticipated costs or savings to local government because this rule sets out the requirements for obtaining UNTF funds for the purchase of heavy equipment.

small businesses:

There are no anticipated costs or savings to small business because this rule sets out the requirements for obtaining UNTF funds for the purchase of heavy equipment.

persons other than small businesses, businesses, or local governmental entities:

There are no anticipated costs or savings to persons other than small businesses, businesses, or local government entities because this rule sets out the requirements for obtaining UNTF funds for the purchase of heavy equipment.

Compliance costs for affected persons:

There are no compliance costs for affected persons because this rule sets out the requirements for obtaining UNTF funds for the purchase of heavy equipment.

Comments by the department head on the fiscal impact the rule may have on businesses:

There is no fiscal impact on businesses because this rule sets out the requirements for obtaining UNTF funds for the purchase of heavy equipment.

David Damschen, Treasurer

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Navajo Trust Fund
TrusteesRoom 180
350 N State Street
Salt Lake City, UT 84114

Direct questions regarding this rule to:

• Katharine Kinsman at the above address, by phone at 801-366-0140, by FAX at , or by Internet E-mail at [e-mail]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

08/31/2016

This rule may become effective on:

09/07/2016

Authorized by:

David Damschen, State Treasurer

RULE TEXT

R661. Navajo Trust Fund, Trustees.

R661-14. Heavy Equipment Purchase and Repair Program.

R661-14-1. Heavy Equipment Purchase and Repair Program.

(1) Funding for purchase or repair of Heavy Equipment

(a) Heavy Equipment is equipment such as Graders, Backhoes, or Bobcat or Skidsteer, Fork Lift, One-ton flatbed truck, and attachments.

(b) Funds for this program will be allocated from Heavy Equipment allocation and/or Chapter Projects allocation funds for this program.

(i) UNTF will match up to 75% of the Heavy Equipment purchase with a cap of $75,000for any single item ($$50,000.00 piece of heavy equipment x 75% = $37,500.00 UNTF Funding).

(ii) If a Chapter House is not located in Utah, a prorated amount will be applied in addition to the 75% based on the Chapter population in Utah compared to the Chapter population in the Arizona. The Dennehotso and Teecnospos Chapter Houses are located in Arizona, therefore the cap for purchases for those Chapter Houses are as follows:

(A) Dennehotso Chapter is 10% (for example, if heavy equipment cost $20,000, the formula will be $20,000 x 75% x 10% = $1,500.00.)

(B) Teecnospos Chapter is 30% (for example, equipment cost of $20,000 x 75% x 30% = $4,500.00.)

(c) Minor Repairs and Maintenance for Heavy Equipment are the responsibility of the Chapter.

(2) Procedures

(a) UNTF is required to make heavy equipment purchased using the State of Utah Purchasing Department annual purchasing contracts.

(i) Chapters shall contact the UNTF staff to obtain the information regarding types of office equipment that is available under the state contract.

(ii) If equipment is purchased under the state contract, two price quotes are not required.

(b) If the equipment is not under state contract, the Chapter shall obtain cost quotations from at least two vendors or equipment repair service providers to get the best price; the quotes shall be attached to the proposal.

(c) The Chapter shall obtain a signed Chapter resolution supporting the proposal.

(d) The Chapter shall use the UNTF "Equipment Purchase/Repair Proposal" form and attendant checklist to submit the request for funding.

(e) The proposal and resolution shall be submitted to the UNTF Administration for consideration by the Dine' Advisory Committee and the Board of Trustees.

(f) If approved by the Board of Trustees, the Chapter will submit a UNTF Payment Request form to complete the purchase.

(3) The Chapter shall ensure that Heavy Equipment should only be operated by properly trained experienced operators.

(4) Heavy equipment purchased using UNTF funds shall not be sold without approval from UNTF.

KEY: heavy equipment purchases, repair program

Date of Enactment or Last Substantive Amendment: 2016

Authorizing, Implemented, or Interpreted Law: 51-10-205(4)(a)

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