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The City of Portland ordains:

Section 1. The Council finds: 

1. The Office of Management and Finance-Facilities’ (“Facilities”) Operations and Maintenance (“O&M”) team oversees day-to-day operations and maintenance of 17 Facilities-owned properties. This portfolio consists primarily of properties that provide critical core services to the City including City Hall, the Portland Building, multiple police facilities, the Fleet Maintenance garages and the BOEC/911/Emergency Operation Center. In addition to ensuring safe and secure space for occupants, The O&M team ensures that these operations continue unimpeded in providing support to all city bureaus and thereby citizens  The O&M team performs preventive maintenance on the City’s assets designed to minimize risk and limit the possibility for a crisis to emerge.

2. O&M currently performs its maintenance services from multiple de-centralized locations, that inhibit efficiencies in material purchasing and storage, maintenance of adequate tool inventory control, secure storage of service vehicles, and efficient scheduling of service technicians to job sites.  As a result, service technicians, make multiple daily trips to hardware stores, and since they often travel from their homes directly to job sites without checking into a central operations center can go for days without physically being seen by their supervisor. This limits the ability to efficiently schedule both preventive and reactive work orders, resulting in extended response times which increase risk to critical assets, and significantly increased expenses overall.  These decentralized locations are not sized appropriately or located strategically thereby further exacerbating the ability of the team to manage their tremendous workload. In a typical year the O&M team processes an average of 7,200 work orders per year or 29 per workday. Finally, the O&M’s space in these various locations continues to be forced to reduce their footprint due to the ever-expanding needs of the adjacent city occupants, resulting in compromised safety and functionality. 

3. The O&M team seeks to implement maintenance strategies that will increase departmental efficiencies, financial accountability, while delivering enhanced services to the customer base, thereby minimizing risk of failure. It is with this goal in mind that O&M seeks to centralize all Technical Facility Maintenance staff and resources into a single location to create workshop, equipment and supplies storeroom, and staff management proficiencies.  For these reasons, Facilities O&M desires to relocate maintenance operations to a single property located at 3315 NW 26th Avenue, Portland, consisting of 11,173 square feet.

4. 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.

5. OMF has strategically assessed its operational needs and have concluded there are no viable options within City-owned facilities to provide sufficient space to accommodate O&M’s current space and operational needs.  OMF wishes to support O&M and facilitate a new lease agreement with commercially reasonable rental rates and terms.

6. The $151,871 annual cost will be funded out of Facilities Services Fund interagency rates .  Annual increases over the term are estimated at 3%.   In addition,there is an expected $100,000 in one-time costs associated with establishing operations at the facility, which will be covered from the fund’s operating reserve.

NOW, THEREFORE, the Council directs:

1. The Chief Administrative Officer or designee is authorized to execute any relevant documents including, but not limited to, amendments and extensions necessary to lease property for the Facilities Operation and Maintenance group’s purposes. Subject to OMF strategically assessing availability of City-owned properties first and consistent with Section 1 findings, all documents will be reviewed by the Office of Management and Finance’s Planning and Portfolio Management team for commercially acceptable terms and condition and approved as to form by the City Attorney prior to execution. 
2. The Mayor and City Auditor are hereby authorized to pay from the Facilities Services Fund when demand is presented and approved by the proper authorities.