*Authorize sixty-five month lease extension with Columbia Square, LLC for Office of Management and Finance Revenue Division office space at 111 SW Columbia St through October 31, 2028 for an average of $786,738 annually (amend Contract 10066)

The City of Portland ordains: Section 1. The Council finds: The Revenue Division (“Division”), within the Office of Management and Finance (“OMF”), is the administrator of several business and individual tax programs including the Portland Business License Tax, Multnomah County Business Income Tax, and the Arts Tax. The Division also administer other local tax programs. Ordinances 186776 and 188792, passed August 2014 and January 2018, respectively, authorized OMF to execute agreements to lease approximately 25,573 square feet of office space for the Division from Columbia Square, LLC at 111 SW Columbia Street. The lease expires May 31, 2023, and the Division wishes to extend the lease for sixty-five months, through October 31, 2028, consistent with the terms and conditions included in Exhibit A (“Extension”). City Binding Policy ADM 13.01 directs bureaus to locate their operations in City owned or controlled facilities when these facilities reasonably meet the business need of the bureaus. Resolution No. 37017 reaffirmed ADM 13.01 and directed OMF to work with bureaus to fully implement relevant policies by bringing City operations back into City-owned facilities when cost effective to do so, and to bring leases or rental agreements to Council for approval. OMF and the Division have strategically assessed the operational needs and have concluded there are no viable options to accommodate the Division’s space needs by June 1, 2023. OMF desires to support the Division and facilitate an Extension with commercially reasonable rental rates and terms, including an abated rent period and Tenant Improvement allowance. The cost of this lease is included in the FY 2022-23 and FY 2023-24 Facilities Services Fund budgets and is funded by the blended downtown office space rental rates. NOW, THEREFORE, the Council directs: The Chief Administrative Office or his designee are authorized to execute documents as necessary, consistent with Section 1 findings, to extend the lease term at 111 SW Columbia for an additional sixty-five month period through October 31, 2028, upon legal review and approval as to form by the City Attorney’s Office. Section 2. The Council declares that an emergency exists because the City must promptly execute the lease amendment without delay to maintain business operations at Columbia Square; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.