53-30-511. Local governmental entity authorized to enter into long-term contracts and to incur indebtedness — noncompetition clause. (1) A local governmental entity may enter into a long-term lease or agreement, not to exceed a term of 30 years, with a corporation proposing to operate a regional detention facility under this part. The local governmental entity may agree in the long-term lease or agreement to acquire the facility from the corporation through a lease or a lease option to purchase, subject to the limitations of Title 7, chapter 7, part 21.

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Terms Used In Montana Code 53-30-511

  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Corporation: means an entity organized and existing pursuant to Title 35, chapter 1 or 2, and approved or designated by a local governmental entity. See Montana Code 53-30-503
  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Local governmental entity: means :

    (a)a local governmental unit;

    (b)a multijurisdictional service district; or

    (c)an interlocal cooperation commission. See Montana Code 53-30-503

  • Property: means real and personal property. See Montana Code 1-1-205

(2)A contract may also contain a covenant by the local governmental entity that if the contract is terminated for nonappropriation of funds by the local governmental entity, the local governmental entity agrees not to purchase, lease, or rent property to perform the functions performed by the corporation and agrees not to permit the functions to be performed by its own employees or by any local governmental entity for a specified period of not less than 1 year and not more than the remaining original term of the contract.