(1) Except as provided by rule made under Subsection (2)(a), a person who files an appeal under Section 63G-6a-1702 shall, at the time that the appeal is filed, pay a security deposit or post a bond with the protest officer in an amount that is the greater of:

1. (a) for the appeal of a debarment or suspension, $1,000;
2. (b) for any type of procurement, $1,000;

3. (c) for an invitation for bids, 5% of:

   1. (i) the lowest bid amount, if the bid opening has occurred; or
   2. (ii) the estimated contract cost, established in accordance with Subsection (2)(b), if the bid opening has not yet occurred;

4. (d) for a request for proposals, 5% of:

   1. (i) the lowest cost proposed in a response to a request for proposals, if the opening of proposals has occurred; or
   2. (ii) the estimated contract cost, established in accordance with Subsection (2)(b), if the opening of proposals has not occurred; or
5. (e) for a type of procurement other than an invitation for bids or a request for proposals, the amount established in accordance with Subsection (2).

(2) The board shall make rules, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, that establish:

1. (a) circumstances and procedures under which the requirement for paying a security deposit or posting a bond may be waived or reduced on grounds, including:

   1. (i) that the person filing the appeal is impecunious;
   2. (ii) circumstances where certain small purchases are involved; or
   3. (iii) other grounds determined by the Division of Purchasing and General Services to be appropriate; and

2. (b) the method used to determine:

   1. (i) the estimated contract cost described in Subsections (1)(c)(ii) and (1)(d)(ii); and
   2. (ii) the amount described in Subsection (1)(e).

(4) The chair of the board shall:

1. (a) retain the security deposit or bond until the protest and any appeal of the protest decision is final;

2. (b) as it relates to a security deposit:

   1. (i) deposit the security deposit into an interest-bearing account; and
   2. (ii) after any appeal of the protest decision becomes final, return the security deposit and the interest it accrues to the person who paid the security deposit, unless the security deposit is forfeited to the General Fund under Subsection (5); and

3. (c) as it relates to a bond:

   1. (i) retain the bond until the protest and any appeal of the protest decision becomes final; and
   2. (ii) after the protest and any appeal of the protest decision becomes final, return the bond to the person who posted the bond, unless the bond is forfeited to the General Fund under Subsection (5).

(5) A security deposit that is paid, or a bond that is posted, under this section shall forfeit to the General Fund if:

1. (a) the person who paid the security deposit or posted the bond fails to ultimately prevail on appeal; and
2. (b) the procurement appeals panel finds that the protest or appeal is frivolous or that its primary purpose is to harass or cause a delay.