Authorization to Lease GDOE Property

(a)The Guam Department of Education

(GDOE)is hereby authorized to lease properties within its jurisdiction if the school cannot be utilized to alleviate double sessions. The handling of such lease agreements shall be conducted by a procurement team that shall consist of five

(5)voting members as follows:

(1)The Superintendent of GDOE or a designated representative.

(2)The Chief Finance Officer or a designated representative.

(3)Three

(3)members of the Guam Board of Education as selected by the Chairperson of the Board of Education.

(4)The Chief Procurement Officer of GDOE shall participate as an ex-officio member of the procurement team to provide the team with technical assistance relative to procurement laws applicable to the lease acquisition.

(b)The revenue collected from these lease agreements shall be made pursuant to regulations promulgated by Administrative Adjudication Act located in Chapter 9, Title 5. Funds received by the Guam Department of Education shall be used for maintenance, renovation, and capital improvement projects. Lease payments shall be deposited into an account separate and apart from the General Fund and may be expended upon approval by the adoption of a resolution by the Guam Board of Education.

(c)The lease amount for any property leased under this Section shall be a minimum of ninety percent (90%) of the appraised value of the property at the time such lease is executed, except when the prospective lessee is an educational institution or instrumentality of the Government of Guam, provided that the lease for said prospective lessee requires cash payments.

(1)If the prospective lessee is an educational institution or instrumentality of the Government of Guam, the property for lease shall not be leased below sixty percent (60%) of the appraised value of the property. CH. 3 DEPARTMENT OF EDUCATION

(2)If the lessee is a charter school approved to operate by the Guam Academy Charter Schools Council pursuant to § 12106 of Chapter 2, Title 17 Guam Code Annotated, or an instrumentality of the Government of Guam, lease payments may be derived from legislative appropriations or existing funds available to expend for rental payments.

(3)All property appraisals shall be made by an appraiser licensed pursuant to Chapter 30, Title 22, Guam Code Annotated.

(d)GDOE shall establish fees and regulations pursuant to the Administrative Adjudication Law found in Chapter 9, Title 5 Guam Code Annotated, for the implementation of this Section.

(e)The Board shall require lessees to prove financial ability to pay rent for the duration of the lease term, and the ability to improve and maintain to meet sanitary permit requirements. GDOE shall determine if upon termination any fixtures or other improvements shall remain or be removed and restored to original conditions.

(f)The Guam Department of Education

(GDOE)is authorized to enter into commercial leases of GDOE real property where such use:

(1)does not impair current or planned instructional capacity within three

(3)school years; and

(2)produces net revenue to support maintenance, renovation, and capital improvements of school facilities.

(g)“Commercial lease” means a lease to a private party for revenue generating activity, including retail, services, offices, light commercial, and campus-compatible enterprises; adult-oriented, gambling, and cannabis businesses are prohibited.