§ 25-4-122 — Reserve for equipment acquisition - Loans

(a) (1) The Division of Information Systems is authorized to accumulate a reserve for equipment acquisition in an amount not to exceed the division's depreciation expense per fiscal year. (2) (A) In addition, the division is authorized to obtain from the State Board of Finance loans from the Budget Stabilization Trust Fund to supplement the reserve if the reserve is insufficient to handle the total cost of required equipment acquisitions. (B) These loans and the reserve for equipment acquisition shall be used exclusively for major equipment acquisitions or improvements of information technology required in order to fulfill the requirements for one (1) or more user agencies. (C) The loans from the Budget Stabilization Trust Fund to the Information Technology Reserve Fund shall be repaid within five (5) years from revenues derived from charges to users, and the annual loan repayment amount shall be computed as a part of the total yearly expenses of the division and shall be charged proportionately to users. (b) (1) (A) However, before the board approves any requests for loans by the division authorized in subdivision (a)(2) of this section, the requests shall be submitted to the Governor for his or her approval after the Governor has first obtained the advice of the Legislative Council in regard thereto. (B) After having obtained advice, the Governor may in writing approve or reject the request. (C) However, if the Legislative Council fails to give its written advice or opinion to the Governor within thirty (30) days after receiving notice of the request for loans, the Governor may proceed to act on the matter without the advice of the Legislative Council. (2) The board shall make no loans if the approval of the Governor has not been obtained therefor. (3) After obtaining the Governor's approval in writing, the board shall also review and may approve the loans and establish terms of repayment and a rate of interest to be paid by the Division of Information Systems Revolving Fund to the Budget Stabilization Trust Fund. The rate shall be approximately equivalent to the rate of interest the board is receiving on other investments at the time of approving the loan request.

Legislative History

Amended by Act 2019, No. 910,§ 6289, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 6288, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 6287, eff. 7/1/2019. Acts 1997, No. 914, § 21; 2005, No. 1999, § 9.