House Bill hb0567
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Florida House of Representatives - 2001 HB 567
By Representatives McGriff, Harrell and Richardson
1 A bill to be entitled
2 An act relating to state agencies leasing
3 space; amending s. 255.25, F.S.; revising
4 language with respect to the extension of
5 certain existing leases by an agency; providing
6 for direct negotiation with a building owner
7 for leased space in certain areas without
8 competitive bid requirements; providing an
9 effective date.
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11 Be It Enacted by the Legislature of the State of Florida:
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13 Section 1. Subsection (3) of section 255.25, Florida
14 Statutes, is amended to read:
15 255.25 Approval required prior to construction or
16 lease of buildings.--
17 (3)
18 (a) Except as provided in subsection (10), no state
19 agency shall enter into a lease as lessee for the use of 5,000
20 square feet or more of space in a privately owned building
21 except upon advertisement for and receipt of competitive bids
22 and award to the lowest and best bidder. The Department of
23 Management Services shall have the authority to approve a
24 lease for 5,000 square feet or more of space that covers more
25 than 1 fiscal year, subject to the provisions of ss. 216.311,
26 255.2501, 255.2502, and 255.2503, if such lease is, in the
27 judgment of the department, in the best interests of the
28 state. This paragraph does not apply to buildings or
29 facilities of any size leased for the purpose of providing
30 care and living space for persons.
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Florida House of Representatives - 2001 HB 567
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1 (b) The Department of Management Services may approve
2 extensions of an existing lease of 5,000 square feet or more
3 of space if such extensions are determined to be in the best
4 interests of the state, but in no case shall the total of such
5 extensions exceed 11 months. If at the end of the 11th month
6 an agency still needs space, it shall be procured by
7 competitive bid in accordance with s. 255.249(2)(b) or, if an
8 agency determines that it is in its best interest to remain in
9 the space it currently occupies, the agency may negotiate a
10 replacement lease with the lessor if an independent market
11 analysis demonstrates that the rates offered are within market
12 rates for the space offered and if the cost of the new lease
13 does not exceed the cost of a comparable lease plus documented
14 moving costs. A present value analysis and the consumer price
15 index shall be used in the calculation of lease costs. The
16 term of the replacement lease shall not exceed the base term
17 of the expiring lease.
18 (c) Any agency proposing to enter into a lease for
19 office space in an area designated as a community
20 redevelopment area (CRA) or part of the Front Porch Initiative
21 may, with the prior approval of the Department of Management
22 Services, directly negotiate with a building owner for leased
23 space within such area without the competitive bid requirement
24 of paragraph (a).
25 (d)(c) Any person who files an action protesting a
26 decision or intended decision pertaining to a competitive bid
27 for space to be leased by the agency pursuant to s.
28 120.57(3)(b) shall post with the state agency at the time of
29 filing the formal written protest a bond payable to the agency
30 in an amount equal to 1 percent of the estimated total rental
31 of the basic lease period or $5,000, whichever is greater,
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Florida House of Representatives - 2001 HB 567
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1 which bond shall be conditioned upon the payment of all costs
2 which may be adjudged against him or her in the administrative
3 hearing in which the action is brought and in any subsequent
4 appellate court proceeding. If the agency prevails after
5 completion of the administrative hearing process and any
6 appellate court proceedings, it shall recover all costs and
7 charges which shall be included in the final order or
8 judgment, excluding attorney's fees. Upon payment of such
9 costs and charges by the person protesting the award, the bond
10 shall be returned to him or her. If the person protesting the
11 award prevails, the bond shall be returned to that person and
12 he or she shall recover from the agency all costs and charges
13 which shall be included in the final order of judgment,
14 excluding attorney's fees.
15 (e)(d) The agency and the lessor, when entering into a
16 lease for 5,000 or more square feet of a privately owned
17 building, shall, before the effective date of the lease, agree
18 upon and separately state the cost of tenant improvements
19 which may qualify for reimbursement if the lease is terminated
20 before the expiration of its base term. The department shall
21 serve as mediator if the agency and the lessor are unable to
22 agree. The amount agreed upon and stated shall, if
23 appropriated, be amortized over the original base term of the
24 lease on a straight-line basis.
25 (f)(e) The unamortized portion of tenant improvements,
26 if appropriated, will be paid in equal monthly installments
27 over the remaining term of the lease. If any portion of the
28 original leased premises is occupied after termination but
29 during the original term by a tenant that does not require
30 material changes to the premises, the repayment of the cost of
31 tenant improvements applicable to the occupied but unchanged
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Florida House of Representatives - 2001 HB 567
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1 portion shall be abated during occupancy. The portion of the
2 repayment to be abated shall be based on the ratio of leased
3 space to unleased space.
4 Section 2. This act shall take effect July 1, 2001.
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7 HOUSE SUMMARY
8 Provides that if a state agency leasing office space
determines that it is in the agency's best interest to
9 remain in the space it currently occupies at the end of
the current statutory period which will then require
10 competitive bidding, the agency may negotiate a
replacement lease with the lessor if an independent
11 market analysis demonstrates that the rates offered are
within market rates for the space offered and if the cost
12 of the new lease does not exceed the cost of a comparable
lease plus documented moving costs. Provides that any
13 agency proposing to enter into a lease for office space
in an area designated as a community redevelopment area
14 or part of the Front Porch Initiative may, with the prior
approval of the Department of Management Services,
15 directly negotiate with a building owner for leased space
within such area without competitive bidding.
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