Lease agreements are written agreements, usually longer in duration than rentals. Rental agreements are for a fixed time frame, and they do not allow any ownership rights in or to the property. If the total payments exceed Twenty-Five Thousand Dollars ($25,000.00), an item is required to be bid. Lease agreements are signed by the board of county commissioners. A recommended best practice is to have agreements reviewed by the county’s district attorney.

• 62 O.S. § 430.1
• 19 O.S. § 3

The approved form to use for a lease is SA&I Form No. 120-A, Lease Agreement for Equipment. This form has a provision that allows for renewal options and a provision that allows for termination of the lease if the lessee determines that sufficient funds have not been appropriated to make the payments required under the terms of the agreement.

If using a form modification of SA&I Form No. 120-A, Lease Agreement for Equipment, OR if using a different form, either form must be approved by the district attorney.

Exception: The board of county commissioners can lease specialized road machinery or equipment during an emergency without a written contract for a period of 30 days (not exceeding Twenty-Five Thousand Dollars ($25,000.00)).
69 O.S. § 636.3 (A)

Refer to “Emergency Purchases” in Chapter Six, “Purchasing Situations”
The normal purchasing procedures in Chapter Four, “Purchasing Methods and Procedures,” should be followed for leases.