March 19, 1976
Mr. Robert Glanzer, Manager
State Fair Board
P.O. Box 1275
Huron, South Dakota 57350
OFFICIAL OPINION NO. 76-34
Purchase of property by State Fair Board
Dear Mr. Glanzer:
This office has received your request for an official opinion based on the following factual situation:
The fair board currently furnishes housing for the manager and the grounds foreman, who are required to live on the grounds, and to be on call 24 hours per day. The assistant in charge of the grounds also lives on the grounds, in a mobile home.
This is required to help in cutting down the amount of vandalism which occurs on the fairgrounds.
The fair board has opportunity of purchasing a very good, used, mobile home for the assistant" grounds man, and would place it in a more strategic area of the grounds to help in curbing the vandalism. This man would also be on call 24 hours per day.
The mobile home would be located in a permanent location on the grounds, and would be used for the additional housing required at this time.
You have asked the following question:
Can the Fair Board purchase this used mobile home?
The pertinent statutory provisions are found in SDCL 1-21 and 5-18. By the provisions of §1-21-14, the State Fair Board can use the revenues generated from the State Fair to pay all reasonable and necessary claims. Also, the State Fair Board can purchase, hold and sell property, §1-21-7. Therefore, as I concluded in Memorandum Opinion No. 75-2, saying the State Fair Board has the authority to purchase real property on contract for deed regardless of §4-8-3, I am now of the opinion that the Fair Board can also purchase a mobile home for use at the fair grounds.
However, none of the $125,000 which is transferred to the State Fair Board from the Racing Commission can be used for this purpose. Those moneys are for administration expenses and maintenance of building and grounds. See §42-7-34.
One final point, §5-18-1 requires that purchases made by the state and all officers, boards or commissions empowered by law to contract for the construction of public improvements or for the purchase of materials, supplies or equipment in excess of a cost of $1500 be let to the lowest responsible bidder. I do not find a provision anywhere that exempts the State Fair Board from these bidding statutes.
In conclusion, the Fair Board can buy a mobile home, used or new, but only after it has followed the bidding statutes, SDCL 5-18.
Respectfully submitted,
WILLIAM J. JANKLOW
ATTORNEY GENERAL
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