Assigned to GOV                                                                                                          FOR COMMITTEE

 

 

 

ARIZONA STATE SENATE

Phoenix, Arizona

 

FACT SHEET FOR H.B. 2208

 

state archives building

 

Purpose

 

            Authorizes the Director of the Arizona Department of Administration (ADOA), subject to the approval of the Joint Committee on Capital Review (JCCR), to enter into a lease-to-own agreement for the construction of a state archives building located on the Capitol Mall.

 

Background

 

            Arizona state records are housed in a section of the Capitol built almost 70 years ago.  In 1983 the Arizona Historical Records Needs and Assessment Project found that the state archives had exceeded capacity and failed to meet modern archives standards.  It recommended that a new state archives building be constructed as soon as possible.

 

            In 1999, the National Conference of State Legislatures conducted a sunset review of the renamed Arizona State Library, Archives and Public Records.  Its 1999 report recommends an expansion of storage space and enhanced environmental controls and fire safety installations.  Due to the lack of space, Arizona has destroyed at least 100,000 cubic feet of records.

 

            In 2000, S.B. 1063 was passed granting authority for ADOA to enter into lease-to-own agreements for two buildings. Similar to S.B. 1063, H.B 2208 will issue a request for proposal to the development community for the planning, design, construction, operation and maintenance of the building.  Proposers will present their respective plans with an accompanying lease cost for the term of the lease.  ADOA will make annual lease payments for the term of the lease to the developer/manager.  At the conclusion of the lease term, the state will own the building.

 

            While a fiscal impact to the state general fund is possible, it is unlikely because of the lease purchase payments.

 

Provisions

 

1.      Authorizes the Director of ADOA to enter into a lease-to-own agreement for the construction of a state archives building located on the Capitol Mall.

 

2.      Requires JCCR to review the lease-purchase agreement before the transaction takes effect.

 

3.      Specifies authorized conditions of the lease agreement.

 

4.      Exempts the buildings from property taxation during construction and while occupied by the state for governmental activity.

 

5.      Provides for a general effective date.

 

House Action

 

PIRA                1/23/01        DP        9-0-0-1

APPROP         3/6/01          DP       12-1-0-3

3rd Read            3/15/01                    51-0-9-0

 

 

Prepared by Senate Staff

March 21, 2001