14 Articles in the Executive Regulations of the State Real Estate Leasing System Establish Principles and Transparency

International Monetary Fund Riyadh office market

Posted in

The Umm Al-Qura newspaper Umm Al-Qura published in its issue issued yesterday, Executive Regulations of the State Leasing System , which aims to regulate the operations of state leasing through government agencies according to the needs of the agencies, taking into account the rationalization of the financial costs of the operations of government agencies" leasing of real estate. This is in order to promote the development of the utilization of the leased property by government agencies.

The regulation includes provisions to promote the principles of governance and establish the principles of transparency and efficiency in the operations of Government agencies" rental of real estate, and defined the role of <a style="color: #993300;" href="https://amlak.The General Authority for State Properties in overseeing the operations of government entities leasing real estate.
Article I
:

1- The words and phrases mentioned in this regulation shall have the meanings indicated in front of each of them in Article (I) of the State Real Estate Leasing Law issued by Royal Decree No. (M/136) dated 12/28/1443 H.
2- The following words and phrases, wherever they appear in the Regulations, shall have the meanings indicated in front of each of them, unless the context requires otherwise:
Competition: The public competition through which the Authority invites prospective landlords to submit their offers in relation to the rental application advertisements.
Contract: The lease contract concluded between the government entity and the lessor in accordance with the standardized lease contract form approved by the Authority. Entity Affiliates: Those who work for the government entity or provide a service to it on a permanent or temporary basis, and require the allocation of space for them in the property to be rented.

Chapter I of the Executive Regulations of the State Real Estate Leasing System

Leasing Plan

Article II:
1- The government entity must develop the annual plan referred to in Article (III) of the Law in accordance with the plan model approved by the Authority, provided that the plan includes the following data:
a. The region, city or governorate to be leased.
B- The type of property to be rented.
C- The purpose of the rental. D- Information of the entity's employees, such as their numbers, levels, and job structure.
E- Any other data requested by the Authority.
2- The government entity publishes its annual plan on its website and the portal during the first quarter of each fiscal year, and must update the annual plan data periodically during the fiscal year, indicating the leasing operations completed by the government entity in accordance with its annual plan.
3- Government entities that have been issued orders, decisions or directives that require confidentiality of their leasing operations are excluded from publishing the annual plan for leasing operations.

Third Article

Article Three:
When applying to lease a property, the government entity is obligated to adhere to its annual plan, with the following exceptions:
1- If the government entity was established after the beginning of the fiscal year.
2- If the government entity develops circumstances that were not foreseen when the plan was prepared and published, with the approval of the Authority.

Chapter II

Terms of hire

.

Article Four:
The government entity shall provide the Authority with proof of the availability of the necessary financial appropriation to lease and utilize the property.

Article V

Article Five:
The utilization of the property referred to in paragraph (3) of Article (4) of the Law means the ability of the government entity to utilize the property by rehabilitating, furnishing, equipping and so on.

Sixth Article

Article Six:
When submitting a rental application for housing its employees, the government entity must provide the Authority with proof that the requirements of Article (5) of the Law have been met.

Article Seven.

Article Seven:
For the purpose of applying the provisions of the Law and Regulations, structural defects means any defect in the structural works or its protective elements that impair the strength, stability or stability of the building, or any defect due to errors, faults or deficiencies in design, materials, location or construction.

Article VII

Article Eight:
The property to be rented must meet all statutory requirements and licenses necessary for the utilization and exploitation of the property, including security, safety, prevention and fire protection requirements and any other requirements specified by the Authority.

Article IX

Article Nine:
The Authority shall take into account the proportionality of the area of the property to be leased with the need of the government entity, the number of government employees, their job levels, the purpose of the lease, the nature of the government entity's activity and any other factor that affects the utilization of the property.

Article IX

Article Ten:
</The Authority, in coordination with the competent authorities, shall determine the controls of securing the property to be rented - in accordance with the relevant regulations - and publish them on the portal, taking into account the type of property and the purpose of its use.

Article Eleven:
</The violation mentioned in paragraph (5) of Article (6) of the Law shall mean the violations issued by any competent authority, which exist during the submission of offers to lease the property and may affect the utilization of the property directly or indirectly. The dispute referred to in the same paragraph also means existing judicial disputes that affect the ownership of the property or rental procedures.

Article Twelve:
1- With the exception of the provision of Article 1 of this Regulation, the employees of the authority or government entity wishing to lease in paragraph (6) of Article 6 shall mean the employees or permanent workers of the authority or government entity without others.

2- The degrees of kinship mentioned in paragraph (6) of Article (6) of the Law shall mean the following:
a- First degree: Fathers, mothers, grandparents and grandmothers, even if they are higher up.
B- Second degree: Children and their children and their descendants.
C- Third degree: Brothers and sisters who are brothers and sisters, father or mother, and their children.

Article Thirteen:
</The existence of a private interest of the employee directly or indirectly conflicts with the interests of the government entity, as the private interest affects the employee's ability to perform his/her job and professional duties and responsibilities objectively, impartially and neutrally.
2- The government entity and the Authority shall take all necessary procedures and measures to prevent any conflict of interest that may affect or arise at any stage of the leasing procedures it undertakes.
3- The government entity and the Authority shall exclude any employee whose interests conflict with its interests from participating in any of the leasing procedures if it is determined that the conflict of interest cannot be effectively addressed through other preventive measures and procedures.

4- An employee of the government entity or organization is obligated to:
a. To avoid by all possible means the conflict of his/her own interest with any of the interests of the government entity.
B- To disclose in writing to his immediate supervisor - as soon as he becomes aware of any conflict between his private interest and the interests of the government entity, and to put the interest of the government entity ahead of any private interest.
c. Not to initiate or attempt to influence any of the hiring procedures that may lead to the realization of his private interest directly or indirectly. d. Not participate in voting on any decision related to any of the government entity's hiring procedures if he/she has any direct or indirect private interest in the hiring process that may lead to a conflict of interest.

Conflict of Interest


Article Fourteen:
The following shall be considered prohibited persons: 1- Those who are prohibited by law from dealing with them, including those with whom a court ruling or decision has been issued by a legally authorized authority, until the period of prohibition expires.
2- Bankrupts or those who are proven insolvent or those who have been ordered to be placed under judicial custody.
3- Natural or legal persons against whom a decision has been issued to open liquidation, administrative liquidation or liquidation proceedings for small debtors.

To view the executive regulations of the State Real Estate Leasing System