WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 1 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Table of Contents 01 - AUTHORITY ........................................................................................................ 2 02 - OBJECTIVES ...................................................................................................... 5 03 - POLICY ............................................................................................................... 5 04 - RESPONSIBILITIES ........................................................................................... 5 04.01 - Washington Office...................................................................................................... 5 04.01a - Director of Acquisition Management ................................................................... 5 04.01b - Director of Engineering ........................................................................................ 6 04.01c - Director of Ecosystem Management Coordination .............................................. 6 04.01d - Director of Law Enforcement and Investigations ................................................. 6 04.01e - Director of Albuquerque Service Center - Budget and Finance ........................... 6 04.02 - Regional Foresters, Station Directors, Area Director ................................................. 7 04.03 - Regional Directors of Acquisition Management ........................................................ 7 04.04 - Forest and Grassland Supervisors .............................................................................. 7 04.05 - Asset Managers, Group Leads of Leasing and Property, or Supervisory Leasing Specialists ................................................................................................................... 8 04.06 - Real Property Leasing Officers .................................................................................. 8 04.07 - Contracting Officer Representatives .......................................................................... 9 05 - DEFINITIONS ...................................................................................................... 9 06 - ACRONYMS ...................................................................................................... 17 07 - REFERENCES .................................................................................................. 20 WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 2 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 01 - AUTHORITY The following laws, Executive Orders, regulations, Office of Management and Budget (OMB) Circulars, and policies are applicable to the acquisition and management of leasehold interest in real property: 1. Agriculture Property Management Regulations, Subchapter C, Real Property. Supplements the Federal Management Regulations with policies and procedures for managing real property in accordance with U.S. Department of Agriculture (USDA) operational needs. 2. Departmental Regulation 1620-002. Establishes policy for the acquisition, management, and disposition of owned, leased, or General Services Administration (GSA)-controlled office and related space in accordance with USDA operation needs. 3. Departmental Regulation 5100-003. Establishes policy for appointing individuals to execute, modify, administer, and/or terminate a lease on behalf of USDA in accordance with federal acquisition and real property laws and regulations. 4. Executive Order No. 11988, ‘‘Floodplain Management”. Precludes federal agencies from leasing space in buildings located within a 100-year floodplain when a practicable alternative is available. 5. Executive Order No. 11990, ‘‘Protection of Wetlands’’. Precludes federal agencies from leasing space in buildings located within a wetland when a practicable alternative is available. 6. Executive Order No. 12072, ‘‘Federal Space Management’’. Subject to the Rural Development Act of 1972, requires federal agencies to give first consideration to locating federal facilities in central business areas, and/or adjacent areas of similar character, when such areas are consistent with program requirements. 7. Executive Order No. 12699, ‘‘Seismic Safety of Federal and Federally Assisted or Regulated New Building Construction’’. Requires all new buildings that are owned, leased, constructed, partially paid for by federal funds, or regulated by the federal Government, be constructed to ensure that appropriate seismic design and construction requirements are applied. 8. Executive Order No. 12941, ‘‘Seismic Safety of Existing Federally Owned or Leased Buildings’’. Adopts the standards of the Interagency Committee on Seismic Safety in Construction (ICSSC) as the minimum level acceptable for use by federal agencies in assessing the seismic safety of their owned and leased buildings and in mitigating unacceptable seismic risks in those buildings. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 3 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 9. Executive Order No. 13006, ‘‘Locating Federal Facilities on Historic Properties in Our Nation’s Central Cities’’. Subject to the Rural Development Act of 1972 and Executive Order 12072, requires federal agencies to give first consideration to locating federal facilities in historic properties within historic districts when operationally appropriate and economically prudent. 10. Executive Order No. 13327, ‘‘Federal Real Property Asset Management’’. Requires federal agencies to report their real property holdings. 11. Executive Order No. 13423, ‘‘Strengthening Federal Environmental, Energy and Transportation Management’’. Directs federal agencies to increase energy efficiency in all energy-related activities and apply sustainable design principles when constructing and renovating buildings. 12. Federal Acquisition Regulations (FAR). Establishes policy for the acquisition of supplies and services by federal agencies. The FAR does not apply to the leasehold acquisition of real property, but it is adopted to the extent it is referenced in the General Services Administration Acquisition Regulation (GSAR) which establishes policy for leasehold acquisitions. 13. Federal Management Regulation (FMR) Bulletin 2008-B1. Requires Agency Heads to apply directly to the General Services Administration (GSA) for leasing authority to acquire General Purpose Space less than 19,999 square feet and Special Purpose Space greater than 2,500 square feet for a lease term of up to 20 years when the lease amount is below prospectus level. 14. Federal Management Regulation (FMR). Establishes requirements to acquire, manage, utilize, and dispose of real and personal property. 15. Federal Management Regulation Part 102-73. Grants the Forest Service delegated authority to acquire Categorical space or Special Purpose space (less than 2,500 square feet). 16. Federal Property and Administrative Services Act of 1949, as amended. Authorizes GSA to acquire and provide space for federal agencies. Subsequently authorizes the Administrator of the GSA to delegate leasing authority to certain federal agencies to acquire various types of space. 17. General Services Administration Acquisition Manual (GSAM), Part 570. Establishes policy for leasehold acquisitions in accordance with the requirements of the General Services Administration Acquisition Regulation (GSAR) and internal GSA acquisition policies. This is applicable to GSA and agencies that use GSA’s delegated leasing authority. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 4 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 18. General Services Administration Acquisition Regulation (GSAR), Part 570. Supplements the Federal Management Regulations with policies and procedures for leasehold acquisitions. This is applicable to GSA and agencies that use GSA’s delegated leasing authority. 19. General Services Administration Lease Acquisition Circulars (LACs). Establishes the GSA Leasing Desk Guide as a source of leasing guidance and provides subsequent Leasing Desk Guide updates. This is applicable to GSA and agencies that use GSA’s delegated leasing authority. 20. General Services Administration Leasing Desk Guide. Incorporates instruction previously contained in GSA Realty Services Letters and contains authorities, policies, technical, procedural guides, and administrative limitations governing lease acquisitions. This is applicable to GSA and agencies that use GSA’s delegated leasing authority. 21. Office of Management and Budget (OMB) Circular A–11, Appendix B. Requires federal agencies to evaluate real property leases in accordance with specific criteria to determine whether each lease is a Capital or Operating lease. Capital leases are fiscally burdensome because the agency must fund the entire expense of a capital lease in the first year of the lease term, whereas operating leases are funded in annual fiscal year increments. 22. OMB Memorandum, M-12-12, Section 3, “Freeze the Footprint”. Requires all civilian Executive Branch agencies to maintain a static balance in their directly leased, owned, and GSA- assigned buildings inventory of office and warehouse space and compare it to a specific baseline provided by GSA. Any increases to office and/or warehouse type space must be offset with a corresponding square footage decrease so the agency does not exceed the baseline in any fiscal year. 23. Public Law 112-74: Service First Authority. Grants the Secretaries of Interior and Agriculture the authority to conduct activities jointly or on behalf of one another, collocate in federal offices or leased facilities, make reciprocal delegations of respective authorities, duties, and responsibilities, and reimburse funds annually. 24. Title 16, United States Code, section 571c. Grants the Forest Service authority to obtain long-term leases of land for the purposes of erecting permanent facilities. 25. United States Department of Agriculture (USDA) Leasing Handbook. Establishes policy for procuring and managing space using delegated lease authority from GSA in accordance with USDA operational needs. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 5 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 02 - OBJECTIVES To acquire and manage leased space in the best interest of the Government using methods that ensures best value and economic efficiency. 03 - POLICY It is Forest Service policy to: 1. Conduct an assessment of Forest Service needs and establish technical requirements to determine the amount of space necessary to meet mission requirements. 2. Acquire leased space only if suitable Government-owned facilities are not available. 3. Acquire space at charges consistent with prevailing market rates for comparable facilities in the community. 4. Use cost effective methods to manage Forest Service leased space. 5. Integrate lease management actions into the Forest Service’s Real Property Inventory process. 6. Provide Real Property Leasing Officers with instructions for obtaining and maintaining a real property leasing warrant. 7. Administer all real property leasing warrants in compliance with DR 5100-003 and GSAM, section 501.603. 04 - RESPONSIBILITIES 04.01 - Washington Office 04.01a - Director of Acquisition Management It is the responsibility of the Director of Acquisition Management (AQM) to: 1. Serve as the Head of the Contracting Activity (HCA) as designated by the Chief of the Forest Service. 2. Develop and implement Service-wide direction for real property leasing in coordination with the General Services Administration and Departmental policies (FSM 6404.1). WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 6 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 3. Provide Service-wide leadership on contracting activities (FSM 7310.41f). 4. Recommend qualified candidates for the issuance of a real property leasing warrant by the Director of the Office of Procurement and Property Management (OPPM). 5. Coordinate the implementation of the Real Property Management Lease module in Infra to ensure that accurate lease records are maintained for programmatic, real property inventory, Federal Real Property Profile (FRPP), and financial management reporting (FSM 6404.1). 04.01b - Director of Engineering It is the responsibility of the Director of Engineering to provide overall technical direction for planning, development, design, construction, operation, utilization, maintenance, and management of all buildings and related facilities owned, occupied, or permitted by the Forest Service (FSM 7310.41b). 04.01c - Director of Ecosystem Management Coordination It is the responsibility of the Director of Ecosystem Management Coordination to develop and recommend national policy, procedures, coordination measures, technical administration, and training necessary to implement the National Environmental Policy Act (NEPA) within the Forest Service (FSM 1950.43). 04.01d - Director of Law Enforcement and Investigations It is the responsibility of the Director of Law Enforcement and Investigations to ensure Regional law enforcement plans are completed (FSM 5310.42). 04.01e - Director of Albuquerque Service Center - Budget and Finance It is the responsibility of the Director of Albuquerque Service Center - Budget and Finance, (ASC B&F) to: 1. Ensure that all Forest Service leases are recorded on the general ledger, reflected in the Forest Service’s budget, and reported and disclosed on the Forest Service’s financial statement. 2. Develop and implement Service-wide direction to ensure that timely and accurate payments are issued to Lessors. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 7 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 04.02 - Regional Foresters, Station Directors, Area Director It is the responsibility of the Regional Foresters, Station Directors, and the Area Director to: 1. Ensure the acquisition of leased space meets the objectives of the Forest Service and was considered in the preliminary project analysis (PPA) (FSM 7310.42). 2. Manage activities, including planning, programming, design, construction, safety and health, maintenance, and operations associated with government-owned and Forest Service leased facilities (FSM 7310.42). 3. Ensure that physical inventories and data verification of Forest Service leased space is completed as required by the annual Forest Service Real Property Inventory Instructions. 04.03 - Regional Directors of Acquisition Management It is the responsibility of the Regional Directors of Acquisition Management (AQM) to: 1. Nominate qualified candidates for a real property leasing warrant. 2. Terminate or revoke individual delegated real property leasing authority if/when conditions warrant such action. 3. Develop and implement a budget to ensure that funds are available for lease administration, real property lease warrant training, developmental opportunities, and National lease meetings. 4. Ensure that the Asset Management staff maintains the Lease Acquisition Plan (AP) and uses it to communicate lease status to Program Managers and Line Officers. 5. Perform quarterly review of Lease AP status with Real Property Leasing Officers. 6. Coordinate efforts to complete physical inventories and data verification of Forest Service leased space as required by the annual Forest Service Real Property Inventory Instructions. 04.04 - Forest and Grassland Supervisors It is the responsibility of the Forest and Grassland Supervisors to: 1. Conduct preliminary project analyses for all facilities to be leased (FSM 7310.43). 2. Provide timely and accurate information to Real Property Leasing Officers for the purposes of planning for, acquiring, and managing Forest Service leases. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 8 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 3. Ensure that physical inventories and data verification of Forest Service leased space is completed as required by the annual Forest Service Real Property Inventory Instructions. 04.05 - Asset Managers, Group Leads of Leasing and Property, or Supervisory Leasing Specialists It is the responsibility of the Asset Managers, Group Leads of Leasing and Property, or Supervisory Leasing Specialists to: 1. Determine when real property leasing authority is needed to accommodate the mission needs and objectives of the Agency. 2. Oversee the acquisition, administration, amendment, and termination of real property leases that are executed by Real Property Leasing Officers. 3. Monitor the completion of continuing education courses by Real Property Leasing Officers. 4. Ensure that accurate lease records are completed and maintained in Infra, the Corporate Property Automated Information System (CPAIS), and Lease AP. 5. Ensure that physical inventories and data verification of Forest Service leased space is completed as required by the annual Forest Service Real Property Inventory Instructions. 04.06 - Real Property Leasing Officers It is the responsibility of the Real Property Leasing Officers to: 1. Enter into, administer, amend, and terminate real property leases in accordance with all applicable laws, Executive orders, regulations, and OMB Circulars that apply to Federal space acquisition activities. 2. Create and maintain lease records for Forest Service leases in Infra and CPAIS. 3. Provide Forest Service lease updates to the ASC Property/Working Capital Fund (WCF) Branch. 4. Update and maintain the Lease AP. 5. Utilize the Lease AP to plan milestones for Forest Service leasing needs. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 9 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 6. Work with the Property Management Officer to ensure that physical inventories and data verification of Forest Service leased space is completed as required by the annual Forest Service Real Property Inventory Instructions. 5. Obtain at least 80 hours of continuing education or training related to real property leasing every 2 years and record this training in CPAIS. 6. Designate appropriate Contracting Officer Representatives that meet current Regional requirements. 04.07 - Contracting Officer Representatives It is the responsibility of the Contracting Officer Representatives to: 1. Serve as the liaison between the tenants and the Lessor to facilitate lease compliance. 2. Inspect Forest Service leased space to ensure that the Lessor provides the services, utilities, and maintenance required by the lease. 3. Document all inspection reports and all oral/written communication between the Lessor. 4. Perform physical inventories and data verification of Forest Service leased space as required by the annual Forest Service Real Property Inventory Instructions. 5. Maintain hard copy documentation of all training taken and certifications earned and provide a copy to the Contracting Officer. 05 - DEFINITIONS Acquisition Plan. A documented strategy that addresses the objectives, timelines, and negotiation objectives that will be used in the acquisition process. It summarizes the plan of action and identifies milestones in the acquisition process. Alter. To repair, remodel, improve, extend, or otherwise modify a building. American National Standards Institute/Building Owners and Managers Association Office Area (ABOA). The space where a tenant normally houses personnel, and/or furniture, for which a measurement is to be completed. This space was previously referred to as Usable Square Feet (both terms are used interchangeably throughout the GSA solicitation template) and is based on the American National Standards Institute/Building Owners and Managers Association (ANSI/BOMA) publication. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 10 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Best Value Tradeoff. A source selection method where award is based on the evaluation of price and other non-price factors to determine the best value to the Government. The tradeoff concept provides the opportunity for a cost/technical tradeoff and does not require that an award be made to the Offeror submitting the lowest price or to the highest technically rated offer, although the ultimate decision may be to select the lowest priced offer or the highest technically related offer. Building Owners and Managers Association (BOMA). A professional association that develops and publishes standards for measuring office space in the private industry. Buildout. The construction of new (first generation) or relet (second generation) space in accordance with the tenant’s specifications, including configuring (space planning and design) and finishing (construction). Capital Lease. A lease that meets one of the following six criteria: (1) Transfers ownership of the property to the Lessee by the end of the noncancelable lease term, (2) Contains an option to purchase the leased property at a bargain price, (3) The lease term is greater than or equal to 75 percent of the estimated economic life of the leased property, (4) The present value of rental and other minimum lease payments, excluding the portion of payments representing executory costs, equal or exceed 90 percent of the fair market value of the leased property, (5) Is built to the unique specification of the Government as Lessee, and (6) Is marketable only to the Government sector. Central Contractor Registration (CCR). The primary vendor database for the Government that validates vendor information and electronically shares the secure and encrypted data with Federal agencies’ finance offices to facilitate paperless payments through electronic funds transfer. Certificate of Appointment. A specific form (SF-1402) which documents the delegation of leasing authority conveyed to an individual. Certificate of Occupancy. A certificate issued by a local government stating that a building and/or tenant suite is in a condition suitable for occupancy, sometimes called an Occupancy Permit. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 11 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Common Area Factor. The conversion factor determined by the building owner and applied to the ABOA square feet to determine the rentable square feet for the offered space. This term is also referred to as the U/R ratio. Condemnation. The sovereign power of the Federal Government, authorized by the Fifth Amendment to the U.S. Constitution, to take private property, such as leasehold estates, for public purposes upon the payment of “just compensation”. Consumer Price Index (CPI). The Consumer Price Index is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. Construction Drawings (CDs). Drawings that provide the specifications, engineering calculations, and construction details necessary to construct the space. They are also the basis for determining code compliance, obtaining building permits, evaluating contractual performance, and determining legal liability for occupants’ safety and welfare. Construction Drawings reflect both the lease requirements and specifications in the Design Intent Drawings. Contracting Office’s Representative (COR). An appointed individual with the authority to assist in the technical monitoring or administration of a contract. Corporate Property Automated Information System (CPAIS). A database that serves as the USDA subsidiary ledger for owned real property and the primary inventory reporting and portfolio management tool for all real property. Delineated Area. A description of an area by words, sketch, design, or diagram. The term is generally used to describe a suitable geographic area in which to lease space or locate a facility in accordance with mission requirements. Design Intent Drawing (DID). Drawings that show partitions and doors, schematic demolition, voice, data, and electrical outlet locations, level of finishes, generic furniture layout, and any additional details necessary to communicate the “design intent” for the purpose of preparing construction documents. DIDs do not contain mechanical, electrical, or plumbing specifications or drawings. They do not carry furniture or computer and telecommunication specifications; nor do they contain signage, artwork, keying, or hardware schedules. Design Intent Drawing Schematic (DID schematic). Drawings that represent the approved layout concept for the lease acquisition under optimal configuration conditions. Discounting. The conversion of future costs or income into present value. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 12 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Energy Star® Rating. The rating a building earns using the Energy Star® Building system to compare energy performance in similar buildings in similar climates. A score of 50 represents average building performance. Facilities Master Plan (FMP). A document that each National Forest, Grassland, and Research Station is required to put together to depict facility locations, unit standards, existing and proposed buildings, and related improvements. The FMP guides, in a general way, the acquisition, continued use, and disposal of facilities. See FSH 7309.11, chapter 20, section 22 for more details. FedBizOpps. The single location (previously referred to as the General Service Administration’s electronic posting system) where government agencies publish procurement opportunities over $25,000 and for any sole source activity. Federal Real Property Profile (FRPP). A government-wide database that captures required elements as established by Federal Real Property Council and provides an overview of the Federal Government’s Real Property Assets. Firm Term of Lease. The non-cancelable duration of the lease during which the Government has contractually committed to make rental payments with or without occupancy. Fully Serviced Lease. A lease in which the monthly rent includes the cost of certain types of services, which may include janitorial services, trash collection, utilities, water and sewer charges, property taxes, and so forth. General Services Administration Real Estate Exchange (G-REX). An interactive online portal for agencies to request leasing authority from GSA to acquire General Purpose or Special Purpose space. It is both a functional tool and a site for current real property lease-related information. Green Building Certification System. A third-party evaluation system used by the Federal Government and the private sector for measuring the sustainability performance of new and existing buildings. Green Globes®. A third-party green building certification system that is both a guide for integrating green design principles and an assessment protocol. Gross Annual Rent. The annual rent paid to the Lessor including operating costs and costs of ownership. Holdover. A tenancy that is created when the tenant continues to occupy the premises beyond the expiration date of the lease term. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 13 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Infra. An integrated database which includes programs to manage information needs for individual and grouped assets such as buildings, water and wastewater systems, roads, bridges, dams, communication systems, recreation sites, administrative sites, and rangeland management units. Interagency Agreement. The instrument used when one Federal agency/department is in a position to provide materials, supplies, equipment, work, or services of any kind that another Federal agency or department needs to accomplish its mission. Interagency Security Committee Security Levels (ISC). The physical security criteria established by the Interagency Security Committee that must be applied to all Federal facilities. Leadership in Energy and Environmental Design (LEED). A voluntary performance standard developed by the U.S. Green building Council (USGBC) for sustainable building design, operation, and maintenance of buildings. Lease. A conveyance to a person/entity for the right to exclusive possession of property for a definite period of time by a Lessor. It may include operational services provided by the Lessor. Lease Acquisition Plan Module. The Lease Acquisition Plan module (Lease AP) is a program within WorkPlan that serves as an acquisition planning tool for RPLOs. Lease Extension. A time frame beyond the expiration date of a lease to allow for continued occupancy for the short term, pending long term solution. Lease Renewal (Option). The right, but not the obligation of the Lessee to continue a lease upon specified terms and conditions, including lease term and rent. Lessee. One who possesses the right to use or occupy a property under a lease agreement. Lessor. One who conveys the right to use and occupy a property under a lease agreement. Lowest Price Technically Acceptable. Source selection approach in which award is made to the Offeror presenting the lowest priced offer that is technically acceptable and meets the Government’s minimum requirements. Market Research. The process of gathering information about the market to identify ranges of fair and reasonable costs for the type of space desired. It typically involves consulting commercial databases, real estate brokers, and other sources of expertise. It may or may not involve directly contacting commercial lessors. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 14 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Market Survey. The process of gathering information about the market and visiting specific properties to determine whether suitable property is available to satisfy the space need. Net Annual Rent. Annual rent less operating costs. The following supplies and services are considered operating costs that may be subtracted from the gross annual rent: utilities, janitorial, and property protection. The following ownership cost may also be subtracted from the gross annual rent: building maintenance/reserves (these costs are excluded from the Capital Lease Scoring analysis but are not defined as operating costs). NOTE: Triple net leases exclude operating costs, plus the following ownership costs: taxes, insurance, and building maintenance/reserves. Operating Lease. See the definition for a capital lease. If the lease is not a capital lease, it is considered an operating lease. Operating Services. Services that support the use of a leased property, such as heating, ventilation, air conditioning, utilities, and custodial services. Preliminary Project Analysis. A preliminary step in the facility management process that documents all viable project alternatives and provides recommendations for further specific project development action. See FSH 7309.11, chapter 20, section 23 for more details. Present Value Analysis. A method used to determine the current dollar value of the entire rent stream. Price Negotiation Memorandum. A record of negotiation setting forth the principal elements of the negotiation for inclusion in the lease file. Real Property Leasing Officer (RPLO). An appointed individual with the authority to enter into, administer, amend, and terminate real property leasehold contracts in accordance with Federal acquisition property laws and regulations. Renewal Option. A unilateral right specified in the lease, by which, at a specified time or times, the Government may elect to remain in its current location for a specific period of time at a pre-negotiated rental rate. Rentable Square Feet (RSF). The space for which the Lessee is charged rent. The rentable space may include a share of building support/common areas such as elevator lobbies, building corridors, and floor service areas. Floor service areas typically include restrooms, janitor rooms, telephone closets, electrical closets, and mechanical rooms. The rentable space does not include vertical building penetrations and their enclosing walls, such as stairs, elevator shafts, and vertical ducts. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 15 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Request for Lease Proposals. See Solicitation for Offers. Restoration. The physical replacement or repair of the premises at the termination of the Lessee’s occupancy to the same condition existing at the commencement of occupancy, except for reasonable and ordinary wear and tear and damage by the elements. Simplified Lease Acquisition Threshold (SLAT). A dollar value that is less than or equal to $150,000 average annual rent for the term of the lease, including option periods and excluding the cost of services paid for by the Government. Simplified Lease Model. Lease model used when the lease does not exceed the simplified lease acquisition threshold. Solicitation for Offers (SFO). A request for negotiated proposals. For lease acquisitions, this is also commonly referred to as a request for lease proposals. For leases acquired using GSA’s delegated lease authority, the solicitation for offers is separated into a request for lease proposal and a lease contract. Source Selection. The processes and techniques for selecting a source or sources outlined in GSAM part 570. These include the Lowest Price Technically Acceptable and the Best Value Trade-off Process. Source Selection Plan. A written document that outlines the Government’s strategy for evaluating competitive proposals to enter into a Government lease and identifies how the best value to the Government will be determined. Special Use Authorization. A permit, term permit, lease, or easement which allows for the occupancy, use, rights, or privileges of National Forest System land. Standard Lease Model. Lease model used when the lease acquisition does not fall within the parameters of the other lease models. This model is based on the traditional Tenant Improvement/Solicitation for Offers (TI/SFO) that accommodates the complexities of Level IV security requirements, extensive tenant alterations, and prospectus-level leases. Standstill Agreement. An agreement that preserves the status quo between the Lessor and the Government. Streamlined Lease Model. Lease model used when the lease acquisition does not exceed $500,000 net annual rent and Level I, II, III security requirements. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 16 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Sublease. A lease agreement conveying a part of leased real property to another person/entity with the Lessee acting as the Sublessor under the terms of the preexisting lease. The Sublessor retains liability for rent payments. Succeeding Lease. A lease whose effective date immediately follows the expiration date of an existing lease for space in the same building and will replace the existing lease. Succeeding/Superseding Lease Model. Lease model used when space requirements have not changed, minimal or no tenant improvements are needed, and a stay in place solution is appropriate. Superseding Lease. A lease that replaces an existing lease, prior to the scheduled expiration of the existing lease term. Supplemental Lease Agreement. A document used to change or modify an existing lease. Sustainable building. The creation and responsible management of a healthy built environment based on resource efficient and ecological principles. Tenant Improvement (TI). The finishes and fixtures required to take the building from its “shell” condition to usable space. Some examples of TI include: electrical and telephone cable distribution from the building core to the workstations, floor coverings, thermostats, window coverings, supplemental power for special equipment, structural enhancements to accommodate heavier floor load, increased ceiling heights, or security systems. Tenant Improvement Allowance. The dollar amount that can be spent to construct, alter, or finish the space for the agency’s occupancy. Turnkey Project. A space acquisition approach used by the Government in which the Government defines the full requirement in the solicitation for offers, including buildout requirements, and all of the costs are negotiated before award. Telephone Utility Maintenance System (TUMS). A USDA web application that enables the Forest Service to make utility payments to utility providers and serves as a paperless maintenance system for telephone and utility vendors. Usable Square Feet (USF). This term is used interchangeably with the term ANSI/BOMA Office Area (ABOA). WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 17 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE Warrant. A delegation that defines the extent of authority vested in an individual to enter into, administer, amend, and terminate leasehold interests in real property; specifically, the signatory authority of an individual to obligate funds and contractually commit the Forest Service. WorkPlan. A web-based tool used by the Forest Service Budget staff to plan and track project status. 06 - ACRONYMS ABAAS - Architectural Barriers Act Accessibility Standard ABOA - ANSI/BOMA Office Area AGPMR - Agriculture Property Management Regulations ANSI/BOMA - American National Standards Institute/Building Owners and Managers Association AQM - Acquisition Management ASC-B&F - Albuquerque Service Center, Budget & Finance ASC-WCF - Albuquerque Service Center, Working Capital Fund ASC - SWAM - Albuquerque Service Center, Service-wide Accounts Maintenance BOMA - Building Owners and Managers Association CBA - Central Business Area CCR - Central Contractor Registration CFO - Chief Financial Officer CICA - Competition in Contracting Act CIO - Chief Information Office CLPs - Continuous Learning Points CPAIS - Corporate Property Automated Information System CPI - Consumer Price Index WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE DHS - Department of Homeland Security DOI - Department of Interior DR - Departmental Regulation EFT - Electronic Funds Transfer E.O. - Executive Order EPLS - Excluded Parties List System FAR - Federal Acquisition Regulations FMMI - Financial Management Modernization Initiative FMP - Facility Master Plan FMR - Federal Management Regulations FRPP - Federal Real Property Profile GAO - Government Accountability Office G-REX - General Services Administration Real Estate Exchange GSA - General Services Administration GSAM - General Services Acquisition Manual GSAR - General Services Acquisition Regulations HCA - Head of Contracting Activity ISC - Interagency Security Committee IT - Information Technology LAC - Lease Acquisition Circular LEED - Leadership in Energy and Environmental Design MLS - Multiple Listing Services NEPA - National Environmental Policy Act 6409.12_zero_code Page 18 of 21 WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE NFC - National Finance Center OCIO - Office of the Chief Information Officer OGC - Office of General Counsel OMB - Office of Management and Budget OPPM - Office of Procurement and Property Management PBS - Public Buildings Service PPA - Preliminary Project Analysis RHPO - Regional Historic Preservation Officer RLP - Request for Lease Proposals RPLO - Real Property Leasing Officer RSF - Rentable Square Feet RSL - Realty Services Letter SF - Square Feet SFO - Solicitation for Offers SLA - Supplemental Lease Agreement SLAT - Simplified Limited Acquisition Threshold TICS - Tenant Improvement Cost Summary table TUMS - Telephone Utility Maintenance System UFAS - Uniform Federal Accessibility Standards UMA - User Management Account USDA - United States Department of Agriculture USF - Useable Square Feet 6409.12_zero_code Page 19 of 21 WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. 6409.12_zero_code Page 20 of 21 FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 07 - REFERENCES 1. USDA Office of General Counsel (OGC) Letter on Subleasing dated October 14, 2009. This letter rescinds a previous OGC opinion and clarifies that USDA agencies may not enter into subleases for properties that they have leased using GSA’s delegated leasing authority. See exhibit 01 for more details. WO AMENDMENT 6409.12-2014-1 EFFECTIVE DATE: 07/08/2014 DURATION: This amendment is effective until superseded or removed. FSH 6409.12 - LEASING OFFICERS’ HANDBOOK ZERO CODE 06 – Exhibit 01 OGC Letter on Subleasing 6409.12_zero_code Page 21 of 21
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