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The Oregon Administrative Rules contain OARs filed through October 15, 2014
 
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DEPARTMENT OF ADMINISTRATIVE SERVICES

 

DIVISION 120

RENTING OR LEASING OFFICE QUARTERS

125-120-0000

Definitions

For the purposes of OAR 125-120-0000 through 125-120-0200, to be referred to as the "Leasing Rules", the term:

(1) "Administrator" means the Administrator of the Facilities Division of the Department of Administrative Services.

(2) "Agency" or "state agency" means any state officer, board, commission, department, institution, branch, or agency of the state government.

(3) "Department" means the Department of Administrative Services.

(4) "Director" means the Director of the Department of Administrative Services.

(5) "Facilities Division" or "Division" means the Facilities Division of the Department of Administrative Services.

(6) "Lease" means a lease for office quarters between an agency and a lessor other than the Department, including interagency and intergovernmental lease or sublease.

(7) "Major Leasing Project" means a project for leasing privately owned office quarters for use by any agency when the project is for more than 10,000 usable square feet, or when the project is for a build-to-suit facility regardless of the size.

(8) "Office quarters" means office space, office buildings and associated service, storage and parking facilities for state agencies, and may include factory-built, modular, or portable units, but excludes stand alone storage and parking facilities.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0010

Exemptions

Notwithstanding OAR 125-120-0000(2), the Legislative Assembly, the courts and their officers and committees, and the Secretary of State and the State Treasurer in the performance of the duties of their constitutional officers are exempted from complying with OAR 125-120-0000 through 125-120-0200 (the leasing rules), unless any of these exempted parties chooses to request services of the Department for any office space assignments or for leasing services for acquiring privately owned office quarters; in which cases all applicable provisions of the leasing rules shall be followed.

Stat. Auth.: ORS 276.428 & ORS 283 .060

Stats. Implemented:
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90

125-120-0020

Assignment of Office Quarters

(1) When an agency requires an assignment of office space or leased office quarters, the agency shall first estimate the space requirements, in accordance with the Department's Office Space Standards, DAS Policy 125-6-100, and submit a completed Space Assignment Request form to the Division.

(2) Facilities Division shall review and approve Space Assignment Requests and shall allocate office quarters in the following order of priority: first, office quarters owned or managed by the Department, when available and feasible; second, other state-owned or state-leased office quarters when available and feasible; third, and only if neither of the foregoing office quarters is available and feasible will the Department consider approving any lease for office quarters. The State Capitol and the Supreme Court Building are not subject to space assignment by the Department .

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .410
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

125-120-0030

Allotment of Space in Office Quarters (ORS 270 .410)

Allotment of space in all leased office quarters shall be guided by the Department's Office Space Standards (Policy #125-6-100).

Stat. Auth.: ORS 276.428 & ORS 283 .060

Stats. Implemented:
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90

125-120-0040

Measuring Office Quarters

The Division will use the standards of the American National Standards Institute (ANSI) as adopted by the Building Owners and Managers Association (BOMA) as a guide in measuring office space.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .410
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

125-120-0050

Space Allocation/Rental Agreement

(1) Agencies occupying Department-owned office quarters shall sign and comply with the Department's Space Assignment/ Rental Agreement.

(2) The Division may charge and collect from any agency violating the terms of such Agreement, the cost of correcting the damages resulting from the agency's violations.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

125-120-0060

Complying With Local Policies

All facility siting shall comply with local land use plans, and if possible, community development policies, pursuant to Department of Administrative Services' OAR 125-110-0001 (the Land Use Coordination Rule).

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

125-120-0070

Leasing Authority

(1) The Department, acting through its Facilities Division, shall supervise and conduct negotiations for all leases, rental agreements and related site selections for office quarters, unless otherwise authorized by the Division in writing.

(2) No lease or rental agreement shall be binding upon the state or any agency unless such lease or rental agreement has been approved by the Division in accordance with ORS 276 .428.

(3) The tenant agency Representative, as identified by the Division to the lessor, may communicate with build-to-suit lessors during construction, and with other lessors during remodeling or renovations of office quarters. The tenant agency representative shall not communicate changes in the scope or specifications of lessor's work directly with lessor's contractor(s), unless so authorized by the lessor. In any case, all change orders must be processed through Facilities Division.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0075

Technical Assistance and Leasing Services for Non Office Quarters

(1) Leases for facilities other than office quarters (such as prisons, medical clinics, dormitories, laboratories) are not subject to the Departments's supervision and approval and are exempted from complying with OAR 125-120-0000 through 125-120-0200 (the Leasing Rules).

(2) Upon written request from an agency, the Facilities Division may provide leasing services and technical assistance in any manner it deems appropriate to best serve the interests of the state.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0080

Subleases by an Agency

(1) Facilities Division must review and approve all subleases by or for all agencies subject to the Leasing Rules.

(2) Any agency that has office space that is not needed for agency purposes, which the agency believes it is feasible to backfill, shall inform the Division. The Division will provide assistance to the agency in back filling the surplus space.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0090

Leasing or Renting Involvement of a Requesting Agency

(1) When the Division determines it to be in the best interests of the state, the Division may delegate to a requesting agency, in writing, certain aspects of the leasing process under the guidance and supervision of the Division.

(2) An agency may seek rental market information, but an agency shall not make commitments to lease or negotiate a lease unless authorized in writing by the Division.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0100

Lease Renewal

(1) Approximately one year before an agency's lease expires, Facilities Division will notify the agency in writing and request the agency's plans for office quarters upon expiration of its lease.

(2) The agency shall respond within thirty days of receipt of the notice and inform Facilities Division of its plans for office quarters.

(3) Before approving any agency lease extension exceeding three years, Facilities Division shall consider other alternatives, if any, which would meet the agency's need more economically for the state. If such an alternative is available and feasible, Facilities Division shall advise the agency of the projected benefits and costs for the relocation.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0110

Agency Commitment

(1) Before Facilities Division approves an agency's request for office quarters, the head of the requesting agency, or designee, shall certify that legislatively approved funds are available to meet the obligations under the proposed lease for the current biennium and that the Agency intends to request funding to continue the lease for the full term of the lease. Facilities Division will assist the requesting Agency to compile a cost estimate for suitable office quarters.

(2) Facilities Division may charge and collect for leasing services provided to an Agency if the agency withdraws its' request for office quarters during any stage of the leasing process, except when such withdrawal is due to unanticipated causes beyond the Agency's control.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .429
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0120

Locating Office Quarters

(1) Facilities Division has the statutory authority to search, select and negotiate for office quarters to rent or lease in any manner necessary to best serve the interests of the state. Facilities Division also reserves the right to reject, in the best interest of the state, any and all offers received while conducting solicitation for offers on leasable properties or facilities. Unless exempted by the Administrator, Facilities Division will search for available office quarters to lease as follows:

(a) Through direct contact or through public advertisement, as needed, for existing office space smaller than 10,000 usable square feet or for other non-office space or special purpose facilities such as storage, parking spaces, medical clinics, laboratories, and the like, regardless of size.

(b) Except as exempted by OAR 125-120-0075, through public advertisement and selection process for Major Leasing Projects which are for 10,000 usable square feet or more of office space or for any build-to-suit leases regardless of size.

(2) Extensions and amendments to existing leases are not subject to requirements of subsections (1)(a) and (b) of this rule.

(3) Office quarters and other types of space to be leased from or shared with other governmental entities may be negotiated directly, or through a public search process, as may be appropriate.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .426
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0130

Determining a Lease Search Area

Facilities Division and the requesting agencies shall determine the geographical boundaries for a lease search area by considering:

(1) The requesting agency's special needs;

(2) The state's policy of promoting economy, efficiency and convenience to the public by centralizing and consolidating state office quarters within a community whenever feasible;

(3) The availability and cost of necessary services including state services such as telephone, data, communication and mail services;

(4) Proper zoning and compatibility with local government comprehensive land use plans; and

(5) Applicable directives of the State of Oregon such as the Governor's Executive Order 94-07, or of the local government pertaining to locating state office facilities.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .426 & ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0140

Leasing Directly

(1) Before leasing or renting office quarters smaller than 10,000 usable square feet, Facilities Division may refer to and, when feasible, select for direct negotiations, leasable properties on file at Facilities Division which have been submitted by property owners and real estate professionals interested in developing and leasing office quarters for occupancy by the state. Alternatively, Facilities Division may advertise publicly or conduct a search for a leasable facility, and negotiate directly with the owner or owner's representative for the lease.

(2) To solicit offers of leasable properties, Facilities Division may publish its leasing requirements, or inform those on the Division's trade list of property owners, developers and real estate professionals who have expressed interest in developing and leasing office quarters to the state.

(3) A property owner, developer or real estate professional may be added to Facilities Division's trade list by contacting Facilities Division.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0150

Giving Notice of Intent to Lease

(1) When the geographic search area for siting office quarters has been established or when leasable properties have been identified, Facilities Division shall contact the community or communities which Facilities Division determines are likely to be affected by the requesting agency's proposed location. Notice shall be given, as applicable, to:

(a) The mayor and/or city manager;

(b) The chair of the county commissioners;

(c) The chair of the planning commission;

(d) The local state representative;

(e) The local state senator;

(f) Affected local business associations, as identified and determined by Facilities Division; and

(g) Affected local neighborhood associations, as identified and determined by Facilities Division.

(2) A reasonable response period for notified parties will be specified in the notification letter.

(3) The Facilities Division and the requesting agency shall attempt to address the concerns of notified parties. The Facilities Division may hold a public meeting when it is considered necessary to address such concerns. For any controversial cases, the Administrator shall make the final determination as to whether or not to proceed with the proposed geographic siting location.

(4) The notification requirement under subsection (1) above is waived in the following cases:

(a) Emergency need;

(b) Lease renewals with no significant change in the use or amount of space;

(c) Interagency rental agreements for established state facilities housing agencies with similar state functions;

(d) Leases with other political subdivisions; or

(e) Storage space or other non-office space.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0160

Procedures for Major Leasing Projects

(1)(a) Except as exempted in 125-120-0120 Facilities Division shall communicate to the public and make available a Project Announcement for any Major Leasing Project;

(b) The Project Announcement shall include all the necessary information by which proposed leases or sites are to be accepted, evaluated and recommended. The Project Announcement shall include, but need not be limited to the criteria established in OAR 125-120-0130 (Determining a Lease Search Area).

(2) The Facilities Division shall establish an advisory committee for each Major Leasing Project, with a representative of Facilities Division serving as chair.

(3) The advisory committee shall include at least one representative from the requesting agency. Such representative shall be authorized to act on the agency's behalf.

(4) The committee shall evaluate offers on facilities or sites according to the criteria stated in the Project Announcement. The Facilities Division chairperson shall guide the committee to ensure that the process is carried out in accordance with the Leasing Rules.

(5) The chair of the advisory committee shall ensure that the committee documents the evaluation process, justifies the facility or site selected, and recommends in writing to the requesting agency head or the designee, a site or facility offered for lease that best meets the criteria established in the Project Announcement.

(6) If the requesting agency head or the designee accepts the committee's recommendation, Facilities Division will send out the selection notices and proceed with the lease negotiations. Such a selection notice shall make it clear that it is to be considered only a letter of intent to commence lease negotiations, and that the final lease agreement is subject to the parties reaching a mutually satisfactory agreement on all terms of the lease.

(7) Facilities Division shall conduct the lease negotiations on behalf of the requesting agency unless otherwise determined by the Facilities Division in writing. Facilities Division may terminate the negotiation process if it determines that the negotiation process will not yield a satisfactory result.

(8) Notwithstanding any other provisions of these leasing rules, the Facilities Division may terminate a leasing process and authorize actions reasonable and necessary to meet the Agency's space need when it is determined that doing so is reasonable, taking into account:

(a) Economy, efficiency, convenience to the public or centralization of office quarters; or

(b) The best interests of the state and the general advantage of the public, or;

(c) Emergency situations.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

 

125-120-0170

Tenant Improvements

(1) All build-to-suit leases or major remodeling of leased facilities shall comply with Facilities Division's "Leased Facilities Construction Standards", and with all applicable law and rules, including those requirements for making leased state office quarters accessible to and usable by disabled persons, to the extent required by law.

(2) Before having any tenant improvement work performed on leased premises, the tenant Agency shall consult with the Facilities Division for appropriate procedures.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

125-120-0180

Providing for Non-Appropriation and Early Termination

(1) All leases subject to approval by the Department under ORS 276 .428 shall provide for termination of the lease in the event the Agency is abolished or its funding is so reduced by the Legislature that it cannot continue the lease.

(2) A lessee Agency shall consult with Facilities Division before sending any notice to the lessor for an early termination of a lease so that the Department may explore other alternatives to terminating the lease or advise the Agency of appropriate procedures.

(3) The provision for early termination of the lease, as required under subsection (1) of this rule, may, under some circumstances as determined by the Division and with the written approval of the Administrator and the Director of the lessee Agency, provide for a lease termination settlement amount to be paid by the lessee Agency which shall not be greater than the unamortized tenant improvement cost.

Stat. Auth.: ORS 184.340
Stats. Implemented: ORS 276 .428
Hist.: GS 13-1990(Temp), f. 5-30-90, cert. ef. 6-1-90; GS 26-1990, f. & cert. ef. 11-29-90; DASII 5-1997, f. 5-27-97, cert. ef. 6-1-97

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