1. (1) Except as provided in Subsection R634-4-4(2) or R634-4-4(3), Rule R634-4 applies to design or construction contracts entered into by the Department, and

   1. (a) applies to a prime contractor if the prime contract is in the amount of $2,000,000 or greater at the original execution of the contract; and
   2. (b) applies to a subcontractor if the subcontract is in the amount of $1,000,000 or greater at the original execution of the contract.

2. (2) Rule R634-4 does not apply if:

   1. (a) the application of Rule R634-4 jeopardizes the receipt of federal funds;
   2. (b) the contract is a sole source contract; or
   3. (c) the contract is an emergency procurement.
3. (3) Rule R634-4 does not apply to a change order as defined in Section 63G-6a-103, or a modification to a contract, when the contract does not meet the initial threshold required by Subsection R634-4-4(1).
4. (4) A person who intentionally uses change orders or contract modifications to circumvent the requirements of Subsection R634-4-4(1) is guilty of an infraction.

KEY: health insurance, contractors, contracts, contract requirements

Date of Last Change: March 28, 2022

Authorizing, and Implemented or Interpreted Law: 79-2-404