§ 3.38. Long-term rentals.
(a) The State Board may approve the leasing of an armory or armory land under a long-term lease when the State Board determines by majority vote that the armory or armory land will not be necessary for military purposes during the term of the lease.
(b) The term of a lease under this section may not be more than 1 year, provided that the lease may provide for renewals for a like term for a period of up to no more than 5 years, at the option of the State Board.
(c) Leases of armories and armory property shall be for fair market rental as determined by the State Board. However, the State Board may approve a long-term lease for less than fair market rental when it determines that the lease is in the best interests of the Commonwealth because the lessee is a nonprofit, community service, educational or governmental entity.
(d) Long-term leases shall provide that the Adjutant General may terminate the lease upon 15 days written notice when the Adjutant General determines, in his sole discretion, that the armory or the armory land is necessary for use by the Pennsylvania military forces. The lease shall also provide that when an emergency is declared or threatened, the Adjutant General may suspend or terminate the lease agreement immediately and the Pennsylvania military forces may take immediate possession of the armory.
(e) Long-term lease agreements shall provide that the lessee shall procure at the expense of the lessee property damage insurance to insure the leased premises against damage by fire, storm, vandalism, civil disturbance or natural disaster. The amount of the insurance coverage shall be specified by the lease agreement and, prior to the commencement of the lease term, the lessee shall present to the State Board a certificate of insurance indicating that such coverage is in effect for the term of the lease and any renewals thereof. When the lessee is a governmental agency that provides self-insurance, the lessee shall provide a letter to that effect indicating the limitations on self-insurance coverage and the authority for such coverage.
(f) The lease agreement shall provide that the lessee agrees to indemnify and hold harmless the Commonwealth, the Department, the State Board and their agents, employes and assigns against claims, demands or actions that may be brought against them for personal injuries, death, property damage and the like that may arise out of a transaction or occurrence or act or omission concerning or happening on the leased premises during the term of the lease. The lessee shall procure at the lessee’s own expense public liability coverage naming the Commonwealth, the Department, the State Board and their agents, employes and assigns, as additional insureds. The amount of liability coverage shall be specified in the lease agreement. Prior to the commencement of the lease term, the lessee shall present to the State Board a certificate of insurance indicating that the required insurance is in force for the lease term and any renewals thereof. When the lessee is a governmental agency that provides self-insurance, the lessee shall provide a letter to that effect indicating the limitations on self-insurance coverage and the authority for such coverage.
Source The provisions of this § 3.38 adopted December 21, 1979, effective December 22, 1979, 9 Pa.B. 4172.
No part of the information on this site may be reproduced for profit or sold for profit.
This material has been drawn directly from the official Pennsylvania Code full text database. Due to the limitations of HTML or differences in display capabilities of different browsers, this version may differ slightly from the official printed version.
