*Authorize Director of Parks and Recreation to negotiate and execute one or more lease agreements for an East Zone Maintenance Facility

The City of Portland ordains: Section 1. The Council finds: PP&R’s Local Option Levy (Parks Levy) was passed by voters in November 2020. The 5-year temporary Parks Levy will raise approximately $48 million per year, starting in 2021. The Parks Levy will provide crucial operating funding for the PP&R parks system and programs that provide recreation services and help conserve parks, nature, and clean water. Expanding personnel to deliver on Parks Levy voter commitments requires additional workspace. Pursuant to City Administrative Policy and Office of Management and Finance (“OMF”) protocol, specifically Resolution #3701 “Reaffirming the City’s Interest to Maximize Investment in City-Owned Facilities and Directing the Office of Management and Finance to Fully Implement ADM 13.01”, PP&R collaborated with OMF, and all bureaus, to attempt to utilize City-owned facilities. However, there were no viable options identified within City-owned facilities. PP&R’s Property and Business Development and Asset Management have identified a privately owned site for lease in East Portland that can meet its additional workspace needs. PP&R desires to proceed with due diligence activities to lease the identified site, which may include but not be limited to: BDS Early Assistance, test fitting, estimating construction costs and move-in timeline, and negotiate lease terms with the site’s owner. The expected financial impact is estimated at $2 million per year, which is already built into the PP&R FY 2021-2022 Requested Budget and moving forward. Annual increases over the term of the anticipated 10-year lease term are estimated to be 3%. NOW, THEREFORE, the Council directs: The Director of Portland Parks and Recreation is authorized to negotiate and execute one or more Lease Agreements for a new East Zone Maintenance Facility, as well as any associated amendments/extensions and related due diligence activities, upon approval as to form by the City Attorney. Section 2. The Council declares that an emergency exists because the timely hiring of personnel for the Parks Levy depends upon having a Lease Agreement in place for workspace and operational infrastructure; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.