Source: https://www.federalregister.gov/articles/2001/05/08/01-11390/pricing-policy-for-occupancy-in-gsa-space
Timestamp: 2015-03-03 22:42:37
Document Index: 132053743

Matched Legal Cases: ['arts 101', 'ART 101', 'art 101', '§ 101', '§ 101', 'art 101', 'ART 101', '§ 101', 'arts 102', 'art 102', 'ART 102', 'art?\n102', 'art?\n102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102', '§ 102']

Federal Register | Pricing Policy for Occupancy in GSA Space
-23177 (9 pages)
41 CFR 20
41 CFR 21
41 CFR 85
Document Number: 01-11390
Shorter URL: https://federalregister.gov/a/01-11390 Related Topics
Federal Property Management Regulations (FPMR) Case 2003-101-3; Federal Management Regulation (FMR) Case 2004-102-5; Pricing Policy for Occupancy in GSA Space 4 actions from May 8th, 2001 May 8th, 2001
F. Administrative Procedures Act Back to Top
List of Subjects in 41 CFR Parts 101-20, 101-21, and 102-85 Back to Top
PART 101-20—MANAGEMENT OF BUILDINGS AND GROUNDS Back to Top
1.The authority citation for part 101-20 continues to read as follows: Authority:
§ 101-20.102 [Amended]
2.Amend § 101-20.102 by removing and reserving paragraph (e). 3.Part 101-21 is revised to read as follows: PART 101-21—FEDERAL BUILDINGS FUND Back to Top
40 U.S.C. 486(c); 40 U.S.C. 490(j) (The Federal Property and Administrative Services Act of 1949, as amended, Sec. 205(c) and 210(j), 63 Stat. 390 and 86 Stat. 219; (40 U.S.C. 486(c) and 40 U.S.C. 490(j), respectively).
§ 101-21.000 Cross-reference to the Federal Management Regulation (FMR) (41 CFR chapter 102, parts 102-1 through 102-220.)
4.Part 102-85 is added to subchapter C to read as follows: PART 102-85—PRICING POLICY FOR OCCUPANCY IN GSA SPACE Back to Top
Subpart A—Pricing Policy—General Back to Top
102-85.5 By what authority is the pricing policy in this part prescribed?
102-85.10 What is the scope of this part?
102-85.15 What are the basic policies for charging Rent for space and services?
102-85.20 What does an Occupancy Agreement (OA) do?
102-85.25 What is the basic principle governing OAs?
102-85.30 Are there special rules for certain Federal customers?
102-85.35 What definitions apply to this part?
102-85.40 What are the major components of the pricing policy?
102-85.45 When is an Occupancy Agreement required?
102-85.50 When does availability of funding have to be certified?
102-85.55 What are the terms and conditions included in an OA?
102-85.60 Who can execute an OA?
102-85.65 How does an OA obligate the customer agency?
102-85.70 Are the standard OA terms appropriate for non-cancelable space?
102-85.75 When can space assignments be terminated?
102-85.80 Who is financially responsible for expenses resulting from tenant non-performance?
102-85.85 What if a customer agency participates in a consolidation?
102-85.90 What is a tenant improvement allowance?
102-85.95 Who pays for the TI allowance?
102-85.100 How does a customer agency pay for tenant improvements?
102-85.105 How does an agency pay for customer alterations that exceed the TI allowance?
102-85.110 Can the allowance amount be changed?
102-85.115 How is the Rent determined?
102-85.120 What is “shell Rent”?
102-85.125 What alternate methods may be used to establish Rent in Federally owned space?
102-85.130 How are exemptions from Rent granted?
102-85.135 What if space and services are provided by other executive agencies?
102-85.140 How are changes in Rent reflected in OAs?
102-85.145 When are customer agencies responsible for Rent charges?
102-85.150 How will Rent charges be reflected on the customer agency's Rent bill?
102-85.155 What does a customer agency do if it does not agree with a Rent bill?
102-85.160 How does a customer agency know how much to budget for Rent?
102-85.165 What are standard levels of service?
102-85.170 Can flexitime and other alternative work schedules cost the customer agency more?
102-85.175 Are the standard level services for cleaning, mechanical operation, and maintenance identified in an OA?
102-85.180 Can there be other standard services?
102-85.185 Can space be exempted from the standard levels of service?
102-85.190 Can GSA Rent be adjusted when standard levels of service are performed by other customer agencies?
102-85.195 Does GSA provide special services?
102-85.200 Can customer agencies continue occupancy of space or must they relocate at the end of an OA?
102-85.205 What happens if a customer agency continues occupancy after the expiration of an OA?
102-85.210 What if a customer agency has to relocate?
102-85.215 What if another customer agency forces a GSA customer to move?
102-85.220 Can a customer agency forced to relocate waive the reimbursements?
102-85.225 What are the funding responsibilities for relocations resulting from emergencies?
§ 102-85.5 By what authority is the pricing policy in this part prescribed?
(a) General authority is granted in the Federal Property and Administrative Services Act of 1949, as amended, Sec. 205(c) and 210(j), 63 Stat. 390 and 86 Stat.219; (40 U.S.C. 486(c) and 40 U.S.C. 490(j), respectively).
(6) Public Buildings Amendments of 1972, 92, (86 Stat. 219);
(7) Rural Development Act of 1972, 92, (86 Stat. 674);
(13) Public Buildings Amendments of 1988, 100, (102 Stat. 4049);
§ 102-85.10 What is the scope of this part?
§ 102-85.15 What are the basic policies for charging Rent for space and services?
(5) For certain projects involving new construction or major renovation of Federally-owned buildings, a return on investment pricing approach if an appraisal-determined rental value does not provide a minimum return (OMB discount rate for calculating the present value of yearly costs plus 2%) on the cost of the prospective capital investment. Each specific use of Return on Investment (ROI) pricing must be approved by OMB and duly recorded in an Occupancy Agreement (OA) with the customer agency. Once the ROI methodology is employed to establish Rent for a capital investment, the ROI method must be retained for the duration of the OA term.
§ 102-85.20 What does an Occupancy Agreement (OA) do?
§ 102-85.25 What is the basic principle governing OAs?
§ 102-85.30 Are there special rules for certain Federal customers?
§ 102-85.35 What definitions apply to this part?
Building shell means the complete enveloping structure, the base-building systems, and the finished common areas(building common and floor common) of a building that bound the tenant areas.
Non-cancelable space means space that, due to its layout, design, location, or other characteristics, is unlikely to be needed by another GSA customer agency. Typical conditions that might cause space to be defined as non-cancelable are:
Space assignment or assignments means a transaction between GSA and a customer agency that results in a customer agency's right to occupy certain GSA-controlled space, usually in return for customer agency payment(s) to GSA for use of the space. Space assignment rights, obligations, and responsibilities not covered in this part, or in the customer guides, are formalized in an OA.
Standard level of service. See § 102-85.165 for the definition of standard level of service.
§ 102-85.40 What are the major components of the pricing policy?
Subpart B—Occupancy Agreement Back to Top
§ 102-85.45 When is an Occupancy Agreement required?
§ 102-85.50 When does availability of funding have to be certified?
§ 102-85.55 What are the terms and conditions included in an OA?
§ 102-85.60 Who can execute an OA?
§ 102-85.65 How does an OA obligate the customer agency?
§ 102-85.70 Are the standard OA terms appropriate for non-cancelable space?
Yes, most of the standard terms apply; however, the right to cancel upon a 4-month (120 day) notice is not available. See § 102-85.35 for the definition of non-cancelable space.
§ 102-85.75 When can space assignments be terminated?
§ 102-85.80 Who is financially responsible for expenses resulting from tenant non-performance?
§ 102-85.85 What if a customer agency participates in a consolidation?
Subpart C—Tenant Improvement Allowance Back to Top
§ 102-85.90 What is a tenant improvement allowance?
A tenant improvement (TI) allowance enables the customer agency to design, configure and build out space to support its program operations. It is based on local market construction costs and the specific bureau's historical use of space. (See also the definition at § 102-85.35.)
§ 102-85.95 Who pays for the TI allowance?
§ 102-85.100 How does a customer agency pay for tenant improvements?
§ 102-85.105 How does an agency pay for customer alterations that exceed the TI allowance?
§ 102-85.110 Can the allowance amount be changed?
Subpart D—Rent Charges Back to Top
§ 102-85.115 How is the Rent determined?
(a) Generally, Rent for Federally owned space provided by GSA is based on market appraisals of fully serviced rental values for the predominant use to which space in a building is put; e.g., general use, warehouse use, and parking use. In cases where market appraisals are not practical; e.g., in cases involving unique space or when market comparables are not available, GSA may establish Rent on the basis of alternate commercial practices. See the discussion of alternate valuation methods in § 102-85.125. Amortization of tenant improvements, parking fees, and security charges are calculated separately and added to the appraised shell Rent to establish the Rent charge. Customer agencies also pay for a pro rata share of joint use space.
§ 102-85.120 What is shell Rent?
Shell Rent is that portion of GSA Rent charged for the building envelope and land. (See § 102-85.35 for the definition of building shell.)
§ 102-85.125 What alternate methods may be used to establish Rent in Federally-owned space?
§ 102-85.130 How are exemptions from Rent granted?
§ 102-85.135 What if space and services are provided by other executive agencies?
§ 102-85.140 How are changes in Rent reflected in OAs?
(a) If Rent changes in ways that are identified in the OA, then no change to the OA is required. Typically, OAs state that certain components of Rent are subject to annual escalation; e.g., operating expenses, real estate taxes, parking charges, the basic security charge, and building-specific security operating and amortized capital expenses which do not entail a change in service level. Also, in Federally-owned space, OAs state that the shell rent is re-marked to market every five years. In leased space, the OA will identify any programmed changes in the lease contract rent (such as pre-set increases or steps in the contract rent rate) that will translate into a change in the customer agency's Rent. Changes in Rent specified in OAs will serve as notice to agencies of future Rent changes for budgeting purposes. For a discussion of budgeting for Rent, see § 102-85.160.
§ 102-85.145 When are customer agencies responsible for Rent charges?
(b) When a customer agency releases non-cancelable space, it is responsible for all attributable Rent and other space charges until the OA expires. This responsibility is mitigated to the extent that GSA is able to assign the space to another user or dispose of it. (See § 102-85.65How does an OA obligate the customer agency?)
§ 102-85.150 How will Rent charges be reflected on the customer agency's Rent bill?
§ 102-85.155 What does a customer agency do if it does not agree with a Rent bill?
(b) GSA will not increase or otherwise change Rent for any assignment, except as agreed in an OA, in the case of errors, or when the OA is amended. However, customer agencies may at any time request a regional review of the measurement, classification, service levels provided, or charges assessed that pertain to the space assignment without resorting to formal procedures. Such requests do not constitute appeals and should be directed to the appropriate GSA Regional Administrator. (c) If a customer agency still wants to pursue a formal appeal of Rent charges, they may do so, but with the following limitations:
§ 102-85.160 How does a customer agency know how much to budget for Rent?
Subpart E—Standard Levels of Service Back to Top
§ 102-85.165 What are standard levels of service?
§ 102-85.170 Can flexitime and other alternative work schedules cost the customer agency more?
§ 102-85.175 Are the standard level services for cleaning, mechanical operation, and maintenance identified in an OA?
Unless specified otherwise in the OA, standard level services for cleaning, mechanical operation, and maintenance shall be provided in accordance with the GSA standard level of services as defined in § 102-85.165, and in the PBS Customer Guide to Real Property. A copy of the guide may be obtained from the General Services Administration, Office of Business Performance (PX), 1800 F Street, NW., Washington, DC 20405.
§ 102-85.180 Can there be other standard services?
§ 102-85.185 Can space be exempted from the standard levels of service
§ 102-85.190 Can GSA Rent be adjusted when standard levels of service are performed by other customer agencies?
Customer agencies that arrange and pay separately for the costs of standard level services normally covered by GSA Rent will receive a Rent credit or other type of reimbursement by GSA for the amount GSA would have charged for such services. The type of reimbursement is at GSA's discretion. The reimbursement is limited to the amount included for the services in GSA Rent. Approval to perform or contract for such services must be obtained in advance by the customer agency from the appropriate GSA regional office.
Subpart F—Special Services Back to Top
§ 102-85.195 Does GSA provide special services?
Subpart G—Continued Occupancy, Relocation and Forced Moves Back to Top
§ 102-85.200 Can customer agencies continue occupancy of space or must they relocate at the end of an OA?
§ 102-85.205 What happens if a customer agency continues occupancy after the expiration of an OA?
Holdover Tenancy—Customer Agency Responsibilities in the Event of Tenant Delay in Vacating Space Back to Top
To pay those costs associated with lease contract, GSA fee, and damages/claims, arising from changes in GSA contract costs which are caused by the tenant's delay
To pay Rent as determined by GSA's pricing policy, as described in this part, and those added costs to GSA (claims, damages, changes, etc.) resulting from the tenant-caused delay.
§ 102-85.210 What if a customer agency has to relocate?
§ 102-85.215 What if another customer agency forces a GSA customer to move?
§ 102-85.220 Can a customer agency forced to relocate waive the reimbursements?
Yes, a customer agency forced to relocate can waive some or all of the reimbursements from the forcing agency that are prescribed in § 102-85.215. However, a relocated customer agency cannot waive the requirement for the forcing customer agency to reimburse GSA for unpaid tenant improvements. If GSA is the “forcing” agency, it is responsible for the same costs as any other forcing customer agency.
§ 102-85.225 What are the funding responsibilities for relocations resulting from emergencies?