CODING: Words stricken are deletions; words underlined are additions.





                                                   HOUSE AMENDMENT

                                        Bill No. HB 2007, 1st Eng.

    Amendment No.     (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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 4                                                                

 5                                           ORIGINAL STAMP BELOW

 6

 7

 8

 9

10                                                                

11  Representative(s) Rubio offered the following:

12

13         Amendment (with title amendment) 

14  Remove from the bill:  Everything after the enacting clause

15

16  and insert in lieu thereof:

17         Section 1.  Paragraph (g) is added to subsection (3) of

18  section 216.043, Florida Statutes, to read:

19         216.043  Budgets for fixed capital outlay.--

20         (3)  Each legislative budget request for fixed capital

21  outlay submitted shall contain:

22         (g)  The unamortized cost of tenant improvements under

23  any lease executed after September 30, 2000, which is

24  terminated before the expiration of its term for the purpose

25  of relocating to a state-owned building.

26         Section 2.  Present subsections (2) and (3) of section

27  255.249, Florida Statutes, are renumbered as subsections (4)

28  and (5), respectively, and new subsections (2) and (3) are

29  added to that section, to read:

30         255.249  Department of Management Services;

31  responsibility; department rules.--

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                                                   HOUSE AMENDMENT

                                        Bill No. HB 2007, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         (2)  The department shall require any state agency

 2  planning to terminate a lease for the purpose of occupying

 3  space in a new state-owned office building, the funds for

 4  which are appropriated after June 30, 2000, to state why the

 5  proposed relocation is in the best interest of the state.

 6         (3)  The department shall, to the extent feasible,

 7  coordinate the vacation of privately owned leased space with

 8  the expiration of the lease on that space and, when a lease is

 9  terminated before expiration of its base term, will make a

10  reasonable effort to place another state agency in the space

11  vacated. Any state agency may lease the space in any building

12  that was subject to a lease terminated by a state agency for a

13  period of time equal to the remainder of the base term without

14  the requirement of competitive bidding.

15         Section 3.  Paragraphs (d) and (e) are added to

16  subsection (3) of section 255.25, Florida Statutes, to read:

17         255.25  Approval required prior to construction or

18  lease of buildings.--

19         (3)

20         (d)  The agency and the lessor, when entering into a

21  lease for 5,000 or more square feet of a privately owned

22  building, shall, before the effective date of the lease, agree

23  upon and separately state the cost of tenant improvements

24  which may qualify for reimbursement if the lease is terminated

25  before the expiration of its base term. The department shall

26  serve as mediator if the agency and the lessor are unable to

27  agree. The amount agreed upon and stated shall, if

28  appropriated, be amortized over the original base term of the

29  lease on a straight-line basis.

30         (e)  The unamortized portion of tenant improvements, if

31  appropriated, will be paid in equal monthly installments over

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                                                   HOUSE AMENDMENT

                                        Bill No. HB 2007, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  the remaining term of the lease. If any portion of the

 2  original leased premises is occupied after termination but

 3  during the original term by a tenant that does not require

 4  material changes to the premises, the repayment of the cost of

 5  tenant improvements applicable to the occupied but unchanged

 6  portion shall be abated during occupancy. The portion of the

 7  repayment to be abated shall be based on the ratio of leased

 8  space to unleased space.

 9         Section 4.  The Board of Trustees of the Internal

10  Improvement Trust Fund shall institute a program of

11  privatization of certain state facilities.

12         (1)  The Board of Trustees of the Internal Improvement

13  Trust Fund shall privatize certain state facilities where the

14  majority private business tenants on the facility are private

15  businesses, the majority private business tenants petition the

16  board of trustees, and the facility meets one or more of the

17  following criteria:

18         (a)  The state facility is more than 25 years old and

19  is in need of substantial capital improvements;

20         (b)  The Office of Program Policy Analysis and

21  Government Accountability has issued a report questioning the

22  long-term viability of the state facility or states that the

23  sale of the state facility is appropriate;

24         (c)  The state agency has provided in its budget for

25  substantial capital improvements to the state facility and the

26  budget request has gone unfunded for 2 consecutive years; or

27         (d)  The state facility requires asbestos removal from

28  the buildings on the facility and such removal has not been

29  undertaken within 2 years of discovery.

30         (2)  For purposes of this section, the term:

31         (a)  "Substantial capital improvement" means that the

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                                                   HOUSE AMENDMENT

                                        Bill No. HB 2007, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  capital improvements' cost would exceed 25 percent of the

 2  appraised value of the property, including the cost of removal

 3  and replacement of outdated buildings on the public property.

 4         (b)  "State facility" means public property and

 5  buildings consisting of 25 acres or less of state-owned land

 6  that is improved with office space and is leased by the state

 7  to private tenants that occupy the majority of the square

 8  footage of the leased space.

 9         (c)  "Majority private business tenants" means the

10  nongovernmental lessees of the state facilities which lease

11  the majority of the square footage of state facilities which

12  is for lease.

13         (3)  The Board of Trustees of the Internal Improvement

14  Trust Fund shall have 6 months from the date of the receipt of

15  the petition to procure three appraisals of the facility for

16  purposes of negotiating with the petitioning tenants to sell

17  the state facility for the average price of the appraisals.

18         (4)  The agreement for purchase shall be executed by

19  the Board of Trustees of the Internal Improvement Trust Fund

20  within 9 months after the date of the receipt of tenant

21  petition and shall be for the average price of the three

22  appraisals.

23         (5)  Notwithstanding any other law to the contrary, the

24  majority private business tenants shall have a right of first

25  refusal to purchase the state facility, provided the majority

26  private business tenants have petitioned the state in their

27  petition. Such right of first refusal must be exercised within

28  90 days after notice of the sale to the tenants.

29         Section 5.  This act shall take effect July 1, 2000.

30

31

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                                                   HOUSE AMENDMENT

                                        Bill No. HB 2007, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  ================ T I T L E   A M E N D M E N T ===============

 2  And the title is amended as follows:

 3  remove from the title of the bill:  the entire title

 4

 5  and insert in lieu thereof:

 6                      A bill to be entitled

 7         An act relating to state leases; amending s.

 8         216.043, F.S.; requiring state agencies to

 9         present justification before terminating a

10         lease of privately owned property; amending s.

11         255.249, F.S.; providing for the coordination

12         and assumption of the remaining term of a lease

13         terminated by a state agency before the end of

14         its base term; amending s. 255.25, F.S.;

15         providing for the determination and

16         amortization of the cost of tenant

17         improvements; providing a process for the

18         recovery of unamortized cost of tenant

19         improvements when a lease is terminated before

20         the end of its base term; designating the

21         procedure for the sale of public property to

22         the tenants doing the majority of business in

23         the public property; authorizing the Division

24         of Facility Management to procure real estate

25         appraisals on the public property; requiring

26         the Board of Trustees of the Internal

27         Improvement Trust Fund to institute a procedure

28         to negotiate the sale and privatization of

29         certain public property and buildings;

30         providing an effective date.

31

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