Equipment leases and lease-purchases

1. Specifications for equipment leases and lease-purchases will include the total term of the lease, including all provisions for extensions or renewals of the lease agreement. If the purchasing agency will purchase insurance for the equipment being leased from the leasor, those requirements will be stated in the specifications. 2. The purchasing agency will prepare a written analysis documenting the decision to lease or lease-purchase, in accordance with North Dakota Century Code section 54-27-21.1. 3. The state agency or institution will notify the office of the insurance commissioner, fire and tornado fund division, if the equipment being leased or lease-purchased will be insured under that fund. 4. The purchasing agency must comply with the requirements of North Dakota Century Code section 54-27-21 related to fixed asset reporting when the equipment lease or lease-purchase is determined to be a fixed asset acquisition.