1. hobbies and interests
2. games
3. lottery

CommonwealthofVirginia
RequestforSealedProposals
Title:OfficeSpaceforVirginiaLottery
DueDate:May27,2014
ContactInformation:
PamelaS.Mackey,VCO
SeniorContractSpecialist
[email protected];804‐692‐7641
RequestforProposals(RFP)#:....................................................................................................10671‐AKM
RFPIssueDate:....................................................................................................................................May5,2014
ContractTerm:.....................................................................................June1,2015throughMay31,2025
ProposalDueDateandTime:........................................................................May27,2014;3:00PMEST
TheVirginiaLotterydoesnotdiscriminateagainstfaith‐basedorganizationsoragainstanOfferorbecauseof
race,religion,color,sex,nationalorigin,age,disabilityoranyotherbasisprohibitedbystatelawrelatingto
discriminationinemployment.TheVirginiaLotteryencouragesfirmstoprovidefortheparticipationofsmall
businesses and businesses owned by minorities and women through partnerships, joint ventures and
subcontractingopportunities.
CompleteLegalNameofOfferor’sFirm:______________________________________
Page1of68
I. PURPOSE:......................................................................................................................................................4 II. BACKGROUND:............................................................................................................................................4 III. STATEMENTOFNEEDS:.........................................................................................................................4 IV. PROPOSALPREPARATIONANDSUBMISSIONREQUIREMENTS:.....................................11 A. GENERALREQUIREMENTS:.......................................................................................................11 B. SPECIFICPROPOSALREQUIREMENTS:.................................................................................12 V. SPECIALTERMSANDCONDITIONS:CLICKHERETOENTERTEXT.................................17 NOTE: ALL REFERENCES TO “CONTRACTOR” APPLY TO THE LANDLORD THAT
SHALLULTIMATELYSIGNTHELEASEDOCUMENT..............................................................17 A. ASBUILTDRAWINGS:...................................................................................................................17 B. AUDIT:..................................................................................................................................................17 C. PROPOSALACCEPTANCEPERIOD:.........................................................................................17 D. DISCOUNTS,PROMPTPAYMENT:............................................................................................18 E. FINALINSPECTION:.......................................................................................................................18 F. IDENTIFICATIONANDDELIVERYOFPROPOSAL:...........................................................18 G. INSPECTIONOFJOBSITE:...........................................................................................................19 H. INSTALLATION:................................................................................................................................19 I. NEWEQUIPMENT:..........................................................................................................................19 J. PERFORMANCE,CONTRACTOR:...............................................................................................19 K. PRIMECONTRACTORRESPONSIBILITIES:..........................................................................20 L. PRODUCTAVAILABILITY/SUBSTITUTION:........................................................................20 M. REFERENCES:....................................................................................................................................21 N. RENEGOTIATIONOFCONTRACT.............................................................................................22 O. RENEWALOFCONTRACT:..........................................................................................................22 P. SMALL, WOMEN‐ AND MINORITY‐OWNED (SWAM‐OWNED) BUSINESS
SUBCONTRACTINGANDEVIDENCEOFCOMPLIANCE:........................................................22 Q. SUBCONTRACTS:.............................................................................................................................23 R. WORKSITEDAMAGES:.................................................................................................................23 VI. GENERALTERMSANDCONDITIONS:...........................................................................................23 A. ANTI‐DISCRIMINATION:..............................................................................................................23 B. ADDENDA:..........................................................................................................................................24 C. ANNOUNCEMENTOFAWARD:.................................................................................................24 D. ANTITRUST:.......................................................................................................................................24 E. APPLICABLELAWSANDCOURTS:..........................................................................................24 F. ASSIGNMENTOFCONTRACT:...................................................................................................25 G. AVAILABILITYOFFUNDS:...........................................................................................................25 Page2of68
H. PROPOSALPRICECURRENCY:..................................................................................................25 I. CHANGESTOTHECONTRACT:.................................................................................................25 J. CLARIFICATIONOFTERMS:.......................................................................................................26 K. DEBARMENTSTATUS:..................................................................................................................26 L. DEFAULT:............................................................................................................................................26 M. DRUG‐FREEWORKPLACE:..........................................................................................................26 N. ETHICSINPUBLICCONTRACTING:.........................................................................................27 O. IMMIGRATIONREFORMANDCONTROLACTOF1986:................................................27 P. INFORMATIONSECURITYREVIEW:.......................................................................................27 Q. INSURANCE:.......................................................................................................................................27 R. NONDISCRIMINATIONOFCONTRACTOR:...........................................................................28 S. PAYMENT:..........................................................................................................................................28 T. PERSONNELSECURITYCLEARANCES:..................................................................................30 U. PRECEDENCEOFTERMS:............................................................................................................30 V. QUALIFICATIONOFOFFEROR:.................................................................................................30 W. TAXES:..................................................................................................................................................31 X. TESTINGANDINSPECTION:.......................................................................................................31 Y. TRANSPORTATIONANDPACKAGING:..................................................................................31 Z. USEOFBRANDNAMES:...............................................................................................................31 VII. METHODOFPAYMENTANDINVOICING:...................................................................................31 VIII. DISCOUNTFORPROMPTPAYMENT:.............................................................................................32 IX. PRICING:.....................................................................................................................................................32 X. ADDENDA:.................................................................................................................................................32 XI. SIGNATUREANDOFFERORPROFILESHEET:...........................................................................33 XII. OFFERORSCHECKLIST:.......................................................................................................................34 Page3of68
I.
II.
III.
PURPOSE:
The Virginia Lottery (“Lottery” or “Tenant”), an independent agency of the
CommonwealthofVirginia,isseekingproposalsfromqualifiedcompaniesforoffice
spacetobeleasedintheRichmond,Virginiametropolitanarea.
BACKGROUND:
TheLotteryhasoccupieditscurrentspaceinthePocahontasBuildingfor20years.
ThemakeoverplannedfortheCapitolcomplexbeginningin2016directlyimpacts
theLotteryandnecessitatesmovingtoanewspacenolaterthanSeptember2015.
With our brand, “we’re game”, in mind, the Lottery’s job is to create excitement,
encourage friendly competition, and motivate Virginians to love games. Our
organization is committed to growing and giving back each day to Virginia’s k‐12
publicschoolsandhavingfunwhiledoingit.TheLotteryisbeginningitssearchfor
a more collaborative environment in which its employees can work and play
togetherinsupportofourmissionandbrand.
STATEMENTOFNEEDS:
Thefollowingisasummaryofneeds.FulldetailofneedscanbefoundinExhibitB,
Guidelines for Interior Tenant Improvements. Letter H. Space Need/Premises are
preferredspecifications.
A.
Tenant:VirginiaLottery
B.
PreferredLocation:Thepreferredlocationofthisspaceshallbewithinthe
Richmond metropolitan area with close proximity to a major
highway/interstate, generally described as the counties of Chesterfield,
Hanover,HenricoandtheCityofRichmond.
C.
PublicTransportation:Proximitytopublictransportation(e.g.busline)is
preferred.
D.
Lease Term: 120 months/ten (10) years. The Lottery prefers the Offeror
include an option to purchase the property (if applicable) after 36
months/three(3)yearsofoccupancy,ifdeemedintheLottery’sbestinterest.
E.
LeaseCommencement:Thepremisesshallhaveacertificateofoccupancy
andbereadyforpossessionnolaterthanJune1,2015.
F.
Early Access: The Lottery will need access to the premises up to 90 days
prior (March 1, 2015) to the commencement date for installing furniture,
cabling,etc.Theearlyaccessperiodshallbeonarentfreebasis.
G.
RentalRate:TheLotterypreferstheOfferortoofferafullservice,flatrental
ratefortheleasetermandanyrenewaloptions.Commonareamaintenance
[“CAM”],buildingmaintenanceandtaxesshallbeincludedintherentalrate.
H.
Space Need/Premises: The Lottery has a need for approximately 60,000
usable square feet (“SF”) up to 80,000 SF of office space. See Exhibit B for
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furtherdescriptionsofspaceneeds/requirements.Allofthefollowingare
preferredspecifications.
OfficeSpace(~60,000SF–80,000SF)
•
Approximately80officesand125workstations
•
Approximately2,500SFofspaceforacomputerroomwitharaised
floorandthefollowingspecifications:
»
perimeterwallsshallbereinforcedandbuilttoundersideof
roofdeck
»
minimum350kWdieselgenerator
»
abovegroundfueltankminimum1,000gallons
»
transferswitch
»
powerdistributionunit(“PDU”)
»
surgeprotection
»
uninterruptiblepowersupply(“UPS”)
»
two(2)airconditioningunits
»
firesuppressionsystem
»
aquantityof20110VACoutlets
»
aquantityoften(10)Hubbell110/220VACoutlets
»
conduitinplaceforfiberandcoppertiecables
•
Approximately400SFofspaceforairconditionerandback‐up
batteries
•
Approximately3,000SFofspaceforaCustomerAcceptanceTesting
(“CAT”)environmentwitharaisedfloor
•
Approximately500SFofspaceforaNetworkCenterTestLab
•
Approximatelyfive(5)100SFspacesfortelecommunicationrooms
andthefollowingspecifications: »
HVACandareturnductorventtoallowwarmairtoevacuate
»
minimumoffive(5)110VACquad‐serviceoutlets,two(2)
eachfortelecommunicationrackandserver
•
Approximately400SFofspaceforaChangeControlLab
•
Approximately750SFofspaceforPCbuild‐out/storage
•
Approximately3,200SFofretailspaceforwalk‐incustomers
•
Approximately2,100SFofspaceforfilecabinets,copiers,printers,fax
machines,andshredders
•
Approximately8,000SFofspaceforgeneralstorage
•
Approximately4,750SFofspaceforten(10)conferenceroomsto
facilitate20‐25peopleeach
•
Breakroom(s)orkitchen(s)withcapabilityforicemakers;currently
theLotteryhasseven(7)breakroomsandtwo(2)commercial
icemakers
•
Approximately120SFofspaceforaWinners’Room
•
Approximately180SFofspaceforavaultarea
»
perimeterwallsshallbereinforcedandbuilttoundersideof
roofdeck
•
Approximately3,000SFofspaceforawarehouseanddistribution
center
•
Approximately1,800SFofspacefortwo(2)trainingrooms
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I.
J.
K.
L.
M.
N.
O.
•
Approximately5,000SFofspaceforadditionalgrowth
SatelliteDishes:TheLotteryshallbepermittedtoinstallaminimumofsix
(6) satellite dishes on the rooftop. The installation will not require roof
penetrations.
Miscellaneous:
•
•
•
•
Premisesshallhavecapabilityforrequiredfiberopticserviceto
extendbeyonddemarcationpoint
LotterypreferstobeonaSonetorequivalenttelecommunications
grid
LotteryprefersPlenumratedCAT5ehorizontalandverticalwiring
Lotterypreferssitelocatedonapowergridwithmorethanone(1)
sourceofcommercialpower
Deliveries: The premises shall have the ability to accept tractor trailer
deliveries. The Lottery receives weekly tractor trailer deliveries to the
warehouseportionoftheirspace.Built‐inscissorlift,handjacks,hydraulic
lifts,orforkliftsareusedtomovepalletsfromthedockdeliveryareaintothe
building. Both grade and dock level facilities will be considered. The
minimum warehouse ceiling height shall be 14’ and the minimum
warehouse/rearrollupdoorsizeshallbe12’Hx10’W.
Signage: Offeror shall provide detail of available exterior signage rights to
the Lottery to include the building, monument, lobby, and pylon and suite
signage.Acopyofanyapplicablesignageordinancesorcodes authorizing
thebuildingsignageshouldbeprovidedifchosenasafinalist.
MeetingSpace:TheLotteryprefersasitewiththeabilitytoaccommodate
quarterly meetings consisting of approximately 300 people. Offeror shall
indicateifthebuildingorcomplexhasthisavailability.Ifnot,Offerorshall
identify if there are any facilities nearby able to accommodate this
requirement.
Parking: The Lottery requires the minimum standard of four (4) parking
spaces per 1,000 rentable square feet for staff, client and fleet vehicle
parking, at or in close proximity to the leased premises, the cost of which
mustbeincludedintherent.
Janitorial Services: The Lottery prefers the landlord provide the Lottery
with janitorial services for the premises five (5) days per week. The
janitorialContractorshallfurnishalllabor,supervision,equipment,materials
andsupplies,including,butnotlimitedto,paperproducts, toiletries, etc.
necessaryto maintain the cleanliness of the office area to be cleaned.
Servicesshallnotberequired on national and state holidays. The Lottery
currentlyobservesthefollowingholidays:
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P.
Q.
R.
NewYear’sDay
MartinLutherKing,Jr.Day
MemorialDay
IndependenceDay LaborDay Veteran’sDay
President’sDay
ThanksgivingDay
ChristmasDay
Operating Expenses: For office space, a full service lease is preferred;
however, if the Offeror can demonstrate a potential cost savings to the
Lotterybyprovidingforaparticulartypeofnetlease,theOfferorcanprovide
an itemized breakdown of estimated operating expenses (e.g. gas,
water/sewer, electric, dumpster/trash removal, real estate taxes, janitorial
services,commonareacharges,andanyotherexpensetobechargedtothe
leased premises not listed) and state how the landlord proposes to handle
operating expense charges to the Lottery. In some instances, the Lottery
couldchoosetousethestateelectricservicecontractprovidedthespaceis
separatelymetered.
TenantImprovements:TheLotteryprefersforthelandlordtocontractfor
and construct tenant improvements. In doing so, landlord must
competitively bid the tenant improvement work for the space between
multiplecontractors.TheLotterymayrequestthelandlordprovidecopiesof
the bids received for tenant improvements. Exhibit B provides the general
interiorfinishguidelinesforstateagenciesintheevent thelandlorddoes
notprovidestandardfinishesforitsbuilding.Evaluationofproposalswill be
based on an estimate of the total cost, including any tenant improvement
dollarsnotprovidedbytheOfferor.
SpacePlanning:Thelandlordshallbewilling,uponbeingnotifiedthattheir
property is a finalist, to pay in advance to have the Lottery’s space
planningcontractor,developaconceptualspacelayout,sometimesreferred
toasa"testfit"andonerevision(ifnecessary)fortheLotterytodetermine
squarefootagerequirementsandhowwelltheagency'sspacerequirements can be accommodated in the proposed space. A detailed office space
questionnairewillbeavailableforspaceplanning.
The plan shall indicate all walls, doors, and workstation locations. Spaces
shall be labeled with designated use. An overall Building Owners and
Managers Association (“BOMA”) usable square footage number shall be
provided.
Accurate as‐built drawings shall be provided to the space planning
contractorinan AutoCAD format and submitted electronically. If accurate
drawingsarenotavailable,thelandlordshallalsobeartheexpenseofhaving
suchplansdevelopedandmadeavailable.
Feesforthespacelayout,one(1)revisionandsquarefootagecalculationare
$0.12 per USF for tenants of 10,001 SF and above. Reimbursable expenses
includingtravel,reproductionofdrawings,courier,expressmail,etc.shallbe
invoicedatcost.
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S.
T.
U.
V.
Moving allowance: Offeror shall indicate whether landlord is willing to
provide the Lottery a moving allowance to be used to pay for the cost of
furniture,telecommunicationsanddatacablingandequipment,andmoving
expenses.Alsoindicatethemannerinwhichtheallowanceshallbeprovided
totheLotteryandanylimitationsthelandlordintendstoimpose.
FloorLoad:Indicatethefloorloadingcapacityforspaceproposedonpound
persquarefootbasis(“live‐load”).
W.
RightofFirstOffer:TheLotteryrequestsanon‐goingfirstrightofrefusal
oncontiguousavailablespaceontenant’sfloorsthroughouttheinitialterm
andanyrenewals.
X.
OptionstoRenew:TheLotteryrequeststwo(2),five‐yearoptionstorenew
thelease(“FirstOptionTerm”and“SecondOptionTerm”)uponprovidinga
minimumof12months’writtennoticetolandlordpriortotheexpirationof
theinitialtermorfirstoptionterm.Optionsshallbeata2.5%fixedincrease
ofthethencurrentrentforeachfive‐yearterm.Alloptionsshallincludea
refurbishmentallowancefornewcarpet/flooringandpaint.
TheLeaseshallautomaticallyrenewandcontinuefromyeartoyear (“RenewalTerm”)onthesametermsandconditionsasexistedimmediately
priortothecommencementoftherenewalterm,includinganyprovision
relatingtoescalationinbaserent,ifneitherpartyhasgivenatimelynoticeof
termination.
Y.
RegulatoryandEnvironmentalConditions:Confirmthebuildingand
Page8of68
Incentives: Offeror shall state the proposed rent abatement or other
incentives and refurbishments offered to the Lottery, to be included in the
initialcontracttermandanyrenewalterms.
Utilities:Offerorshallprovidethefollowinginformation:
1.
Electrical–describenumberofwatts,demandload,perrentable
squarefootofelectriccapacitytothepremisesexclusiveofthe
building’sHVACsystemandhouseloads.Doesthebuildinghavedual
powerfeedsfromseparatesources?
2.
HVAC–describeexistingHVACsystemsthatareinplace,bothsize
andexcesscapacityandage.
3.
Generator–Lotterywillrequireaminimum350kWgeneratorwitha
minimum1,000gallonfueltankforbackupofcomputerroom.
Landlordshouldbepreparedtosupplyaproposedoutsidelocation
forthis.Ifthelandlordcurrentlyhasabackupgenerator,theyshould
bepreparedtoprovidethespecifications(e.g.minimumkW,etc.).
4.
FiberAccess–statethefiberaccessandproviderstothebuilding
premisescomplywithapplicablelaws,ordinancesandcodesandAmericans
withDisabilitiesAct(“ADA”)requirements.Inthelease,thetenantwill
requirethelandlordtowarrantandrepresentthatthebuildingandpremises
arefreeoffriableasbestos,otherhazardousortoxicmaterials,and electromagneticfield(“EMF”)radiation.
Z.
Small,WomenandMinority‐OwnedBusinessSubcontractingand
EvidenceofCompliance:IfthelandlordisaqualifiedSmall,Womenand
Minority‐Owned(SWaM)business,acopyofthecertificationshallbe provided.Whereitispracticableforanyportionoftheawardedcontractto
besubcontractedtoothersuppliers,thelandlordisencouragedtooffersuch
businesstosmall,women,and/orminority‐owned(SWaM)businesses.If
SWaMsubcontractorsareused,thelandlordagreestoreporttheuseof
SWaMsubcontractorsbyprovidingtheLottery’spurchasingoffice,ata
minimum,thefollowinginformation:nameoffirm,phonenumber,total
dollaramountsubcontracted,categorytype(small,women,orminority‐
owned),andtypeofproduct/serviceprovided.
AA.
OtherLocationFeatures:
DoestheproposedfacilitymeettheU.S.GreenBuildingCouncil’s
LEEDratingsystemortheUnitedStatesEnvironmentalProtection
Agency/DepartmentofEnergy’s“EnergyStar”rating?
•
Isthefacilitypedestrianandbicycleaccessible(sidewalks,ramps,
bikeracks,etc.)?
NOTE:PursuanttoExecutiveOrder19(2011),theLotterymaygive preferencetofacilitieshavingtheaboveattributes.
•
Describeanyotheramenitiesoffered(e.g.café,buildingconference
room,etc.)
BB.
HoursofService:Ifapplicable,statethenormalbuildingoperatingand
service(includingHVACandsecurityandaccessbytenant)hoursaswellas
thecostperhourofafter‐hoursHVAC.Tenantshallhaveaccesstothespace
24hoursaday,7daysaweek.
CC.
AssignmentandSublease:Tenantshallhavetherighttosubletorassign
allorpartofthepremiseswithlandlord’spriorconsent,whichshallnotbe
unreasonablywithheld,conditioned,ordelayed.Consentshallnotbe
requiredforassignmentorsubleasetoanyotherstateagency.
DD.
Non‐Disturbance:Attenant’soptionpriortothesigningofanylease,
tenantmayrequirelandlordtoprovidenon‐disturbanceagreement acceptabletotenantfromeachmortgageholdertheninexistence,ifany.
EE.
DeedofLeaseForm:ItisarequirementthatastandardCommonwealthof
VirginiaDeedofLeaseformbeutilizedforallCommonwealthlease transactions.Acopyofthecurrentformforafullserviceleaseisattachedto
thissolicitationasanexample,butitissubjecttoreviewandrevisionona
continuingbasis.SeeExhibitC.Shouldtenantandlandlordreachagreeable
Page9of68
•
terms,tenantshallpreparetheleaseonthetemplateformforlandlord’s
reviewandsignature,followedbytenant’sapprovalprocessandsignatures
throughtheGovernor’sOffice.Substantiverevisionstothisformbythe
landlordwillrequireadditionallegalreviewatthestatelevelandcanresult
inadelayoftheleaseapprovalprocess.
FF.
Telecommunications:Landlordshallprovidetenantand/orits
telecommunicationscompanies,including,butnotlimitedtolocalexchange
telecommunicationscompaniesandalternativeaccessvendorservice
companies,withtherightofaccessto,fromandwithinthebuilding (includingpathway(s)tothepremisesaswouldberequiredbythevendor(s)
fortheinstallationandoperationoftenant’stelecommunicationssystems,
includingbutnotlimitedtovoice,video,data,andanyother telecommunicationsservicesprovidedoverwire,fiberoptic,microwave,
wireless,andanyothertransmissionsystems,forpartoralloftenant’s
telecommunicationsto,fromandwithinthebuildingandpremises.
Tenantmayrequestpermissiontoplacecertaintelecommunications equipmentontheroof.Pleaseindicateifthiswillbepermissibleandunder
whatconditions.
GG.
Other:
1.
OnlytheVirginiaLottery(oritsdesignee)isauthorizedtonegotiate
thetermsandconditionsofaproposedleaseagreement.TheOfferor
shallcommunicatedirectlywiththeLottery(oritsdesignee)andshall
notrelyoncommunicationswithorinformationprovidedbyfield
personneloranyothersource.
2.
Tenantiscredit‐worthyandwillnotpayasecuritydeposit.
3.
Tenantwillpayrentmonthlyinarrears.
4.
LeasingissubjecttoapprovalbytheGovernorofVirginiaand availabilityoffundingbytheGeneralAssembly.Additionally,the
Lotteryreservestherighttorejectanyandalloffers,tonegotiate
separatelywithcompetingOfferors,andtocancelthissolicitationat
anytime.If,intheopinionoftheCommonwealth,leasenegotiations
withaselectedOfferorcannotbeconcludedinatimely manner
followingtheselectedOfferor’sreceiptofadraftleaseagreement,the
Lotterymay,atitssolediscretion,immediatelydiscontinue negotiationsandcommencenegotiationswithanyotherinterested
Offeror.
5.
ExhibitAprovidescertaindisclosuresrelatedtoleasinganddoing
businesswiththeCommonwealthofVirginia.TheDeedofLeasefor
theCommonwealthofVirginiashallbesubstantiallyintheformof
ExhibitC.
Page10of68
HH.
IV.
6.
Leasesthatmaybeconsidered“capitalleases”willrequireapprovalof
theGeneralAssemblyand/ortheGovernor.Also,pursuantto§10.1‐
1188oftheCodeofVirginia,leasesconsidereda“majorstateproject”
bytheDepartmentofEnvironmentalQualitywillrequirethe preparationandsubmissionofanEnvironmentalImpactReport
(“EIR”),whichrequiresapprovalonbehalfoftheGovernor.
EstimatedTimeline:
ProcurementProcess
Questionsdue
Addendumissued(ifnecessary)
RFPDueDate
ReviewofProposals
FacilityTours
InitialScoring
Negotiations
Presentations(ifnecessary)
FinalScoring
ProjectStartDate
EstimatedCompletionDates
May13,2014
NolaterthanMay16,2014
May27,2014
June27,2014
July8,9,10,2014
July11,2014
July30,2014
August12,2014
August14,2014
September2,2014
PROPOSALPREPARATIONANDSUBMISSIONREQUIREMENTS:
A.
GENERALREQUIREMENTS:
1.
RFPResponse:
a.
Inordertobeconsideredforselection,Offerorsmustsubmita
complete response to this RFP. One (1) original and four (4)
copies of each proposal must be submitted to the Lottery.
Eachhardcopyproposalmustalsocontainthefollowing:
(1)
An electronic version of the complete proposal on a
jumpdrive,and
(2)
Anelectronicversionofthecompleteproposalwithany
proprietary information removed. Proprietary
informationisdetailedinsection2.d.below.
b.
c.
2.
No other distribution of the proposal shall be made by the
Offeror.
Offeror is requested to respond to each section/subsection in
theorderinwhichitappearsintheRFP.
ProposalPreparation:
a.
Proposals shall be signed by an authorized representative of
theOfferor.
Page11of68
b.
c.
d.
3.
4.
B.
Failure to submit all information requested may result in the
Evaluation Team giving a lowered evaluation score of the
proposal.
An explanation describing how you will accomplish each
requirement must be included in your proposal. The phrase
"fully comply" without an explanation is unacceptable. If a
requirement is not being provided, state "Not Provided."
Proposals, which are substantially incomplete or lack key
information,mayberejectedbytheLottery.
Ownershipofalldata,materialsanddocumentationoriginated
andpreparedfortheLotterypursuanttotheRFPshallbelong
exclusivelytotheLotteryandbesubjecttopublicinspectionin
accordance with the Virginia Freedom of Information Act.
Trade secrets or proprietary information submitted by an
Offeror shall not be subject to public disclosure under the
Virginia Freedom of Information Act; however, the Offeror
must invoke the protections of §2.2‐4342 of the Code of
Virginia, in writing, either before or at the time the data or
other material is submitted. The written notice must
specifically identify the data or materials to be protected and
statethereasonswhyprotectionisnecessary.Theproprietary
ortradesecretmaterialsubmittedmustbeidentifiedbysome
distinct method such as highlighting or underlining and must
indicate only the specific words, figures, or paragraphs that
constitute trade secret or proprietary information. The
classification ofanentire proposal document, lineitem prices
and/ortotalproposalpricesasproprietaryortradesecretsis
notacceptableandwillresultinrejectionoftheproposal.
OralPresentation:Offerorswhosubmitaproposalinresponsetothis
RFP may be required to give an oral presentation to the Evaluation
Team. This provides an opportunity for the Offeror to clarify or
elaborateontheproposal.
FacilityTour:OfferorswhosubmitaproposalinresponsetothisRFP
shall be required to give a tour of the proposed premises to the
Evaluation Team. This provides an opportunity for the Offeror to
clarify or elaborate on the proposal. This is a fact finding and
explanation session only and does not include negotiation. The
Lotterywillschedulethetimeofthesetours.
SPECIFICPROPOSALREQUIREMENTS:
Proposals shall be as thorough and detailed as possible so that the Lottery
mayproperlyevaluateOfferor’scapabilitiestoprovidetherequiredservices.
InadditiontoanyotherrequirementsimposedbySectionIIIofthisRequest
for Proposals, Offerors are required to submit the following items as a
completeproposal:
Page12of68
1.
2.
3.
4.
Offerorshallincludeacoversheetthatindicatesthepagenumber(s)
containingproprietaryinformation.
OfferorshallreturntheentireRFPpackageincludingaddenda,ifany,
signedandfilledoutasrequired. Offerorshallprovidethefollowinginformation:
a.
Doestheproposedlocationmeetthepreferredlocation
preference?(Ref.Sec.III,letterB.)Includethefollowing
informationconcerningtheproposedspace:
1)
Buildingorprojectname
2)
Streetaddress
3)
Cityandzipcode
4)
Cityof________________orCountyof_________________
5)
TotalSFofbuilding
6)
Corefactor
7)
RentableSFofproposedspace
8)
Statethefloor,roomnumber(s)andanyotherpertinent
descriptionofthepremisestobeleasedtotenant
9)
Currentzoning
10)
Copyoftheexistingfloorplanorfloorplate
11)
AreCADdrawingsavailable?
12)
One(1)ormoredigitalphotosoftheexteriorofthe
facilityandthree(3)ormoredigitalphotosofthe
interior
13)
Copyoflatesttaxassessment
b.
Isthelocationclosetopublictransportation?Whattypeof
transportation?(Ref.Sec.III,letterC.)
c.
Acknowledgesandagreestoleaseterm.Includeinformation
regardinganoptiontopurchase.(Ref.Sec.III,letterD.)
d.
Acknowledgesandagreestoleasecommencementand early
access.(Ref.Sec.III,lettersE&F)
e.
Providedetailsofrentalrate.(Ref.Sec.III,letterG)Include
thefollowinginformationconcerningtherentalrate:
1)
2)
3)
4)
Annualrentalratebrokendownintocostpersquare
foot
Rentcheckmadepayabletowhom?
Mailingaddress
Phone
f.
DescribeabilitytomeetSpaceNeed/Premisesandother
preferredspecifications.(Ref.Sec.III,letterH)
Offeror shall acknowledge and agree to satellite dish installations.
(Ref.Sec.III,letterI)
Page13of68
5.
6.
7.
Offerorshalladdressmiscellaneousrequirements.(Ref.Sec.III,letter
J)
OfferorshallprovideexteriorsignagerightstotheLotteryand
providedetailofthoserightsalongwithacopyofanyapplicable
signageordinancesorcodesauthorizingthebuildingsignageifchosen
asafinalist.(Ref.Sec.III,letterL)
8.
Offerorshallincludeinformationregardingmeetingspaceavailability.
(Ref.Sec.III,letterM)
9.
Doesthepremise’sparkingareameettheneedsoftheLottery?Isit
on‐siteorwithincloseproximity?Areparkingcostsincludedinthe
rentalrate?(Ref.Sec.III,letterN)Includethefollowinginformation
concerningparking:
a.
Providethenumberandlocation(s)ofspacesoffered(included
intherentalrate)
b.
Arespacesexclusiveornon‐exclusive?
c.
Insomecases,anagency’sparkingneedsmayexceedthe
minimumstandard.Explainhowtheagencywillbe
accommodated.
10.
11.
12.
13.
Arejanitorialservicesbeingprovidedbythelandlord?(Ref.Sec.III,
letterO)Ifyes,attachacopyofthebuilding’scleaningand
maintenancespecifications.
Offeror shall provide information detailing delivery and warehouse
capabilities.(Ref.Sec.III,letterK)
Whattypeofleaseisbeingofferedbythelandlord?(Ref.Sec.III,
letterP)
What is the landlord’s plan for tenant improvements? (Ref. Sec. III,
letter Q) Include the following information concerning tenant
improvements:
a.
b.
c.
d.
Tenantimprovementallowance(one‐timefee)
Improvementlist
Basebuildingconditionpriortotheapplicationofthetenant
improvementallowance(e.g.shell,secondgenerationspace,
etc.)
Typicaltimingcyclefordevelopmentofconstruction documents,buildingpermitting,demolition,construction,etc.
forthepropertybeingproposed.
Offeror shall acknowledge and agrees to pay fees in advance for the
preparation of the space layout and one (1) revision. (Ref. Sec. III,
letterR)
Page14of68
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
Offerorshallprovideinformationonthelandlord’splantoprovidethe
Lottery a moving allowance to be used to pay for the cost of
furniture, telecommunications and data cabling and equipment, and
movingexpenses.Ifso,Offerorshallalsoindicatehowtheallowance
shall be provided to the Lottery and any limitations. (Ref. Sec. III,
letterS)
Offerorshallprovidedetailsofanyincentivesand/orrefurbishments
tobeofferedtotheLottery.(Ref.Sec.III,letterT)
Offeror shall provide requested information regarding the following
utilities: electrical, HVAC, generator and fiber access and floor load
capacity.(Ref.Sec.III,lettersU&V)
Offeror shall acknowledge and agrees to an on‐going first right of
refusal on contiguous available space on tenant’s floors throughout
theinitialtermandanyrenewaloptions?(Ref.Sec.III,lettersW&X)
Includethefollowinginformationconcerning:
a.
b.
c.
d.
Agreementtotwo(2),five‐yearoptionstorenew?
Ifno,proposinganalternateoption?
Agreementtofixedincreasepercentage?
Refurbishmentallowanceamount
Offeror shall confirm the building and premises comply with
applicable laws, ordinances and codes and ADA requirements.
Landlordshallberequiredtowarrantandrepresentthatthebuilding
andpremisesarefreeoffriableasbestos,other hazardous or toxic
materials,andEMFradiation.(Ref.Sec.III,letterY)
Offeror shall provide details of the landlord’s qualification to be
considered as a Virginia Small, Women and Minority‐Owned
(SWaM) business. A copy of the certification shall be included in
theproposal. (Ref.Sec.III,letterZ)
Offerorshalladdressanyotherlocationfeaturesandhoursofservice.
(Ref.Sec.III,letterAA&BB)
Offerorshallacknowledgeandagreestosublettingorassigningallor
part of the premises with landlord’s prior consent unless the
assignment or sublease is to any other state agency. (Ref. Sec. III,
letterCC)
Offerorshallacknowledgeandagreestothepossibilityofthetenant
requesting the landlord provide a non‐disturbance agreement from
eachmortgageholderinexistence,ifany.(Ref.Sec.III,letterDD)
Offeror shall acknowledge the landlord agrees to utilize a
standard Commonwealth of Virginia Deed of Lease form that the
Page15of68
V.
tenantprepares.Landlordshallreviewandsign,followedbytenant’s
approvalprocessandsignaturesthroughtheGovernor’sOffice.(Ref.
Sec.III,letterEE)
24. Offeror shall acknowledge and agrees that landlord shall provide
tenantand/or its telecommunications companies with the right of
access to, from and within the building for the installation and
operationoftenant’stelecommunicationssystemsforpartorallof
tenant’s telecommunications to, from and within the building and
premises. Tenant may request permission to place certain
telecommunicationsequipmentontheroof.(Ref.Sec.III,letterFF)
25. Offeror shall acknowledge and agrees to meet all
statements/requirementsinSec.III,letterGG,entitled“Other”.
EVALUATIONANDAWARDCRITERIA:
A.
EVALUATIONCRITERIA:
The Virginia Lottery seeks to Contract for the goods and/or services
describedhereinwiththerespondingOfferorwhosubmitsthebestproposal
as modified through negotiations. The written proposals, and any
subsequent negotiated offers, will be evaluated and judged by the Virginia
Lotterybasedonthefollowingcriteria:
1.
Location
2.
Lease
3.
Price
4.
Minority‐owned,women‐ownedandsmallbusinessparticipation
B.
LANDLORDINFORMATION:
IntheeventtheOfferorisselectedtobepartoffurthernegotiationswiththe
Lottery, the following information will be required in order to draft future
documents.Moreinformationmayberequiredatalaterdate.
1.
Provide the legal name of the entity holding title to the property
proposed(thisisthelandlord’sinformationthattransferstothelease
document).
TitledOwner:_______________________________________________________________
MailingAddress:___________________________________________________________
___________________________________________________________
Phone:______________________________________________________________________
Fax:_________________________________________________________________________
EmailAddress:____________________________________________________________
2.
Thefollowingattachmentsarerequired:
Page16of68
V.
a.
Copyofdeed,operatingequipment,corporateresolution
and/orotherdocumentationasevidenceofthelandlord’s
authoritytoexecutealeaseforthisproperty
b.
Currenttaxassessmentofbuilding/land
c.
Iflandlordisoutofstate,thefollowingVirginiaregistered
agentcanbereferencedinthelease:
Name:______________________________________________________________
FullAddress:______________________________________________________
______________________________________________________
Phone:_____________________________________________________________
Email:______________________________________________________________
C.
AWARDOFCONTRACT:
Two or more Offerors deemed to be fully qualified and best suited among
those submitting proposals will be identified on the basis of the evaluation
factors stated herein. Negotiations may be conducted with the Offerors so
selected. After negotiations have been conducted with each Offeror so
selected, the Virginia Lottery may select the Offeror(s) who, in its opinion,
hasmadethebestproposal,andawardtheContracttothatOfferor(s).The
VirginiaLotterymaycancelthisRFPorrejectproposalsatanytimepriorto
the award, and is not required to furnish a statement of the reasons why a
particularproposalwasnotdeemedtobethemostadvantageous.Shouldit
bedeterminedinwritingthatonlyoneOfferorisfullyqualified,orthatone
Offerorisclearlymorehighlyqualifiedthantheothersunderconsideration,a
ContractmaybenegotiatedandawardedtothatOfferor.
Clickheretoentertext.
SPECIALTERMSANDCONDITIONS:CLICKHERETOENTERTEXT.
NOTE:Allreferencesto“Contractor”applytotheLandlordthatshallultimatelysign
theleasedocument.
A. ASBUILTDRAWINGS:
TheContractorshallprovidetheLotteryacleansetofreproducible“asbuilt”
drawings and wiring diagrams, marked to record all changes made during
installation or construction. The Contractor shall also provide the Lottery
with maintenance manuals, parts lists and a copy of all warranties for all
equipment. All “as built” drawings and wiring diagrams, maintenance
manuals, parts lists and warranties shall be delivered to the Lottery upon
completionoftheworkandpriortofinalpayment.
B.
AUDIT:
TheContractorshallretainallbooks,records,andotherdocumentsrelative
tothisContractforfive(5)yearsafterfinalpayment,oruntilauditedbythe
CommonwealthofVirginia,whicheverissooner.TheLottery,itsauthorized
agents, and/or state auditors shall have full access to and the right to
examineanyofsaidmaterialsduringsaidperiod.
C.
PROPOSALACCEPTANCEPERIOD:
Any proposal in response to this solicitation shall be valid for 180 days. At
Page17of68
D.
E.
F.
the end of the 180 days the proposal may be withdrawn at the written
request of the Offeror. If the proposal is not withdrawn at that time it
remainsineffectuntilanawardismadeorthesolicitationiscanceled.
DISCOUNTS,PROMPTPAYMENT:
Discountsforpromptpaymentwillnotbecalculatedindeterminingnetlow
proposal. Discounts for prompt payment will be shown on the purchase
order/Contract and taken if invoices are processed and payment made
withinthestipulatedtimeframe.Ifdiscountsarenotoffered,paymentshall
bemadethirty(30)daysafterreceiptofanaccurateinvoicebytheVirginia
Lottery’s Accounts Payable Department. Offeror shall indicate discount (if
applicable)withthe“Pricingsection”neartheendofthissolicitation.
FINALINSPECTION:
At the conclusion of the work, the Contractor shall demonstrate to the
Lottery’s representative(s) that the work is fully operational and in
compliancewithContractspecificationsandcodes.Anydeficienciesshallbe
promptly and permanently corrected by the Contractor at the Contractor’s
soleexpensepriortofinalacceptanceofthework.
IDENTIFICATIONANDDELIVERYOFPROPOSAL:
The cover page of this solicitation will indicate whether proposals will be
accepted as sealed or unsealed. If this solicitation indicates “sealed”
proposalswillbereceivedforthisprocurement,allproposalsreceivedmust
beenclosedinanenvelopeorpackageandidentifiedasfollows
IF PROPOSAL IS MAILED: Offeror must mail proposal to the Virginia
Lottery, Attention: 12th Floor Purchasing Office, 900 East Main Street,
Richmond,Virginia23219.Theproposalmustbeenclosedinanenvelopeor
packageandidentifiedasfollows:
NameofOfferor
DueDateandTime
Offeror’scompleteaddress
RFPNo.
RFPTitle
IfaproposalisnotidentifiedasoutlinedabovetheOfferortakestheriskthat
the proposal may be inadvertently opened and the information
compromised, which may cause the proposal to be disqualified. No other
correspondenceorotherproposalsshouldbeplacedintheenvelope.
IF PROPOSAL IS HAND DELIVERED (INCLUDING COURIER): Proposal
mustbedeliveredto900EastMainStreet,Richmond,Virginia23219.Dueto
increased building security, an Offeror must only deliver a proposal to the
Security Guard Station located on the Main Street entrance of the Lottery
Headquarters,PocahontasBuilding(addressabove).However,theSecurity
Guardisnotresponsibleforidentifyingthedateandtimeaproposalis
received; only a Virginia Lottery employee can make that
Page18of68
G.
H.
I.
J.
determination. The Security Guard will contact an appropriate Lottery
employeeforproposalreceipt;thisprocesscouldtake30minutesormore.
Lateproposalwillnotbeaccepted.
Note:theLotterydoesnotconductpublicopenings.
INSPECTIONOFJOBSITE:
My signature on this solicitation constitutes certification that I have
inspectedthejobsiteandamawareoftheconditionsunderwhichthework
must be accomplished. Claims, as a result of failure to inspect the job site,
willnotbeconsideredbytheLottery.
INSTALLATION:
Allitemsmustbeassembledandsetinplace,readyforuse.Allcratingand
otherdebrismustberemovedfromthepremises.
NEWEQUIPMENT:
Unless otherwise expressly stated in this solicitation, any equipment
furnishedundertheContractshallbenew,unusedequipment.
PERFORMANCE,CONTRACTOR:
Contractors providing goods and services to the Lottery are required to
performinaccordancewiththetermsandconditionsoftheircontract.When
contractualrequirementsarenotmeetthefollowingactionsmaybetaken(at
theLottery’soption):
1.
ContractorComplaintForm:
If a Contractor fails to perform in accordance with the terms and
conditions of the contract, the Lottery will prepare a Contractor
ComplaintFormandforwardtothePurchasingOffice.Thisformwill
besenttotheContractorforacorrectiveactionplan.
2.
Default:
IftheContractorisnon‐responsivetothecomplaintformordoesnot
satisfythecorrectiveactionplansubmittedinthecomplaintformor
provides an unsatisfactory corrective plan as determined by the
Lottery, the Contractor may, at the Lottery’s discretion, be placed in
defaultandnotifiedviaContractorComplaintForm.
3.
IneligibleforAward:
Onceplacedindefault,theContractorwillbeineligibletodobusiness
withtheLotteryforpurchasesexceeding$5,000foraperiodofthree
(3)years.
4.
Re‐procurementofGoodsandServices:
InadditiontoaContractor’sineligibilityforawardofprogramsover
$5,000,theLotterymayprocurethegoodsand/orservicesfromother
sourcesandholdtheContractorresponsibleforthepricedifferenceof
theoriginalcontractamountandtheamountofthenewcontract.The
Page19of68
Lotterywillfollowcompetitiveprinciplesasoutlinehereinforthere‐
procurement.
5.
Thevendorwillremainindefaultuntilthere‐procurementcostshave
beenpaidtotheLottery.Thevendorisstillsubjecttothethree(3)
year ineligibility based on the default regardless as to when the re‐
procurementcostispaid.
NumberofComplaints:
a)
For Term Contracts: if the Contractor has received three
or more complaints within the initial contract period as
documented by Contractor Complaint Forms, the
Contractormay,attheLottery’sdiscretion,beineligibleto
submit a bid/proposal if the goods/services are re‐
solicitedatexpirationofcontract.Ineligibilityshallapply
even though a satisfactory resolution to all complaints
occurred.
b)
ForaRenewalPeriod:iftheContractorhasreceivedthree
(3) or more complaints within a renewal period as
documented by Contractor Complaint Forms, the
Contractormay,attheLottery’sdiscretion,beineligibleto
submit a bid/proposal if the goods/services are re‐
solicitedatexpirationofcontract.Ineligibilityshallapply
even though a satisfactory resolution to all complaints
occurred.
c)
For Spot Purchases: if the Contractor has received three
(3)ormorecomplaintswithinaperiodofone(1)yearas
documented by Contractor Complaint Forms, the
Contractormay,attheLottery’sdiscretion,beineligibleto
do business with the Lottery for purchases exceeding
$5,000foraperiodofone(1)yearaftertheissuanceofthe
thirdContractorComplaintForm.Ineligibilityshallapply
even though a satisfactory resolution to all complaints
occurred.
K.
L.
PRIMECONTRACTORRESPONSIBILITIES:
TheContractorshallberesponsibleforcompletelysupervisinganddirecting
theworkunderthisContractandallsubcontractorsthathemayutilize,using
his best skill and attention. Subcontractors who perform work under this
ContractshallberesponsibletotheprimeContractor.TheContractoragrees
thatheisasfullyresponsiblefortheactsandomissionsofhissubcontractors
andofpersonsemployedbythemasheisfortheactsandomissionsofhis
ownemployees.
PRODUCTAVAILABILITY/SUBSTITUTION:
Substitutionofaproduct,brandormanufactureraftertheawardofContract
isexpresslyprohibitedunlessapprovedinwritingbytheContactOfficer.The
Page20of68
M.
Lotterymay,atitsdiscretion,requiretheContractortoprovideasubstitute
item of equivalent or better quality subject to the approval of the Contract
Officer,forapricenogreaterthantheContractprice,iftheproductforwhich
theContractwasawardedbecomesunavailabletotheContractor.
REFERENCES:
Offerors shall provide a list of at least three (3) references where leases of
similarsizetothisprojecthavebeenconducted.Eachreferenceshallinclude
thenameoftheorganization,thecompletemailingaddress,thenameofthe
contactpersonandtelephonenumber.Referenceswillonlybecontactedfor
Offerorsmovingtothenegotiationphase.
Organization:
ContactPerson:
Address:
Telephone:
Email:
Organization:
ContactPerson:
Address:
Telephone:
Email:
Organization:
ContactPerson:
Address:
Telephone:
Email:
Offerorsshallprovidealistofatleastthree(3)referencesforthelandlordof
thepropertywherethereferencelesseeisofsimilarsizetothisproject.Each
reference shall include the name of the organization, the complete mailing
address,thenameofthecontactpersonandtelephonenumber.References
willonlybecontactedforOfferorsmovingtothenegotiationphase.
Organization:
ContactPerson:
Address:
Telephone:
Email:
Organization:
ContactPerson:
Address:
Telephone:
Email:
Page21of68
Organization:
ContactPerson:
Address:
Telephone:
Email:
N.
O.
P.
RENEGOTIATIONOFCONTRACT
TheLotteryreservestheright,atanytimeduringtheContracttermorany
renewals of the term, to renegotiate with the Contractor a reduction in the
compensation paid to the Contractor that is less than the compensation
initiallyagreedtobytheContractorandtheLotteryatthetimeofContract
execution.TheLotterymayinitiatesuchnegotiationswhenevertheLottery
determines that it is in the Lottery's best fiscal interests to do so.
Notwithstanding any other provision of this Contract to the contrary, the
LotterymayterminatethisContractimmediatelyandwithoutpenaltyifthe
LotteryisunabletorenegotiatethecompensationwiththeContractortoan
amountwhichtheLotterydeterminestobeappropriate.
RENEWALOFCONTRACT:
The Lottery requests two (2), five‐year options to renew the lease (“First
OptionTerm”and“SecondOptionTerm”)uponprovidingaminimumof12
months’writtennoticetolandlordpriortotheexpirationoftheinitialterm
or first option term. Options shall be at a 2.5% fixed increase of the then
current rent for each five‐year term. All options shall include a
refurbishmentallowancefornewcarpet/flooringandpaint.
TheLeaseshallautomaticallyrenewandcontinuefromyeartoyear (“RenewalTerm”)onthesametermsandconditionsasexistedimmediately
priortothecommencementoftherenewalterm,includinganyprovision
relatingtoescalationinbaserent,ifneitherpartyhasgivenatimelynoticeof
termination.
SMALL, WOMEN‐ AND MINORITY‐OWNED (SWAM‐OWNED) BUSINESS
SUBCONTRACTINGANDEVIDENCEOFCOMPLIANCE:
It is the goal of the Lottery that 50% of purchases are made from SWAM‐
ownedbusinesses.Thisincludesdiscretionaryspendinginprimecontracts
andsubcontracts.UnlesstheOfferorisregisteredasaDMBE‐certifiedsmall
businessandwhereitispracticableforanyportionoftheawardedContract
tobesubcontractedtoothersuppliers,theContractorisencouragedtooffer
such subcontracting opportunities to DMBE‐certified SWAM‐owned
businesses.NoOfferororsubcontractorshallbeconsideredaSWAM‐owned
Business unless certified as such by the Department of Minority Business
Enterprise(DMBE)bytheduedateforreceiptofproposals.IfSWAM‐owned
businesssubcontractorsareused,theprimeContractoragreestoreportthe
use of SWAM‐owned business subcontractors by providing the purchasing
office, at a minimum, the following information on a monthly basis or as
directed by the Lottery: name of SWAM‐owned business with the DMBE
certification number, phone number, total dollar amount subcontracted,
category type (small, women‐owned, or minority‐owned), and type of
Page22of68
Q.
product/serviceprovided.
Willtherebeanysubcontracting
toSWAMBusinessforthe
Yes No
performanceofthiscontract?
Ifso,pleaseprovidetheSWAM
BusinessNameandDMBE
certificationNumber:
SUBCONTRACTS:
Noportionoftheworkshallbesubcontractedwithoutpriorwrittenconsent
oftheLottery.IntheeventthattheContractordesirestosubcontractsome
partoftheworkspecifiedherein,theContractorshallfurnishtheLotterythe
names,qualificationsandexperienceoftheirproposedsubcontractors.The
Contractorshall,however,remainfullyliableandresponsiblefortheworkto
be done by its subcontractor(s) and shall assure compliance with all
requirementsoftheContract.
R.
VI.
WORKSITEDAMAGES:
Any damage to existing utilities, equipment or finished surfaces resulting
from the performance of this Contract shall be repaired to the Lottery’s
satisfactionattheContractor’sexpense.
GENERALTERMSANDCONDITIONS:
NOTE:Allreferencesto“Contractor”applytotheLandlordthatshallultimatelysign
theleasedocument.
A.
ANTI‐DISCRIMINATION:
Bysubmittingtheirproposal,OfferorscertifytotheCommonwealththatthey
will conform to the provisions of the Federal Civil Rights Act of 1964, as
amended,aswellastheVirginiaFairEmploymentContractingActof1975,as
amended, where applicable, the Virginians with Disabilities Act, the
Americans with Disabilities Act. If the award is made to a faith‐based
organization,theorganizationshallnotdiscriminateagainstanyrecipientof
goods,services,ordisbursementsmadepursuanttotheContractonthebasis
oftherecipient'sreligion,religiousbelief,refusaltoparticipateinareligious
practice,oronthebasisofrace,age,color,genderornationaloriginandshall
besubjecttothesamerulesasotherorganizationsthatContractwithpublic
bodies to account for the use of the funds provided; however, if the faith‐
basedorganizationsegregatespublicfundsintoseparateaccounts,onlythe
accountsandprogramsfundedwithpublicfundsshallbesubjecttoauditby
theVirginiaLottery.
IneveryContractover$10,000theprovisionsin1.and2.belowapply:
DuringtheperformanceofthisContract,theContractoragreesasfollows:
1.
The Contractor will not discriminate against any employee or
applicantforemploymentbecauseofrace,religion,color,sex,national
origin, age, disability, or any other basis prohibited by state law
Page23of68
relating to discrimination in employment, except where there is a
bona fide occupational qualification reasonably necessary to the
normaloperationoftheContractor.TheContractoragreestopostin
conspicuous places, available to employees and applicants for
employment, notices setting forth the provisions of this
nondiscriminationclause.
2.
3.
B.
C.
D.
E.
The Contractor, in all solicitations or advertisements for employees
placed by or on behalf of the Contractor, will state that such
Contractorisanequalopportunityemployer.
Notices, advertisements and solicitations placed in accordance with
federal law, rule or regulation shall be deemed sufficient for the
purposeofmeetingtheserequirements.
TheContractorwillincludetheprovisionsof1.aboveineverysubcontractor
purchase order over $10,000, so that the provisions will be binding upon
eachsubcontractororvendor.
ADDENDA:
AnychangesorsupplementalinstructionstothisRequestforProposalsshall
be in the form of written addenda. Each Offeror is responsible for
determining that all addenda issued have been received and shall
acknowledgereceiptofalladdendainthespaceprovidedwithinthePricing
Schedule or by returning a copy of each signed addendum. Failure to do so
may result in rejection of the proposal. All addenda so issued shall become
partoftheIFBandanyresultingContractdocuments.
ANNOUNCEMENTOFAWARD:
Upon the award or the announcement of the decision to award a Contract
over $50,000, as a result of this solicitation, Lottery will publicly post such
noticeontheDGS/DPSeVAwebsite(www.eva.virginia.gov).
ANTITRUST:
By entering into a Contract, the Contractor conveys, sells, assigns, and
transferstotheCommonwealthofVirginiaallrights,titleandinterestinand
to all causes of action it may now have or hereafter acquire under the
antitrust laws of the United States and the Commonwealth of Virginia,
relating to the particular goods or services purchased or acquired by the
CommonwealthofVirginiaundersaidContract.
APPLICABLELAWSANDCOURTS:
ThissolicitationandanyresultingContractshallbegovernedinallrespects
bythelawsoftheCommonwealthofVirginia,andanylitigationwithrespect
theretoshallbebroughtinthecourtsoftheCommonwealth.TheContractor
shall comply with all applicable federal, state and local laws, rules and
regulations including Virginia Lottery Law § 58.1‐4000 et seq. and the
VirginiaLotteryPurchasingManual.
Page24of68
F.
G.
H.
I.
ASSIGNMENTOFCONTRACT:
A Contract shall not be assignable by the Contractor in whole or in part
withoutthewrittenconsentoftheLottery.
AVAILABILITYOFFUNDS:
ItisunderstoodandagreedbetweenthepartieshereinthattheLotteryshall
beboundhereunderonlytotheextentofthefundsavailableorwhichmay
hereafterbecomeavailableforthepurposeofthisagreement.
PROPOSALPRICECURRENCY:
Unless stated otherwise in the solicitation, Offerors shall state proposal
pricesinUSdollars.
CHANGESTOTHECONTRACT:
ChangescanbemadetotheContractinanyofthefollowingways:
1.
ThepartiesmayagreeinwritingtomodifythescopeoftheContract.
An increase or decrease in the price of the Contract resulting from
such modification shall be agreed to by the parties as apart of their
writtenagreementtomodifythescopeoftheContract.
2.
The Lottery may order changes within the general scope of the
Contract at any time by written notice to the Contractor. Changes
withinthescopeoftheContractinclude,butarenotlimitedto,things
suchasservicestobeperformed,themethodofpackingorshipment,
andtheplaceofdeliveryorinstallation.TheContractorshallcomply
with the notice upon receipt. The Contractor shall be compensated
foranyadditionalcostsincurredastheresultofsuchorderandshall
givetheLotteryacreditforanysavings.Saidcompensationshallbe
determinedbyoneofthefollowingmethods:
Bymutualagreementbetweenthepartiesinwriting;or
ByagreeinguponaunitpriceorusingaunitpricesetforthintheContract,if
theworktobedonecanbeexpressedinunits,andtheContractoraccounts
forthenumberofunitsofworkperformed,subjecttotheLottery’srightto
audit the Contractor’s records and/or to determine the correct number of
unitsindependently;or
ByorderingtheContractortoproceedwiththeworkandkeeparecordofall
costsincurredandsavingsrealized.Amarkupforoverheadandprofitmay
beallowedifprovidedbytheContract.Thesamemarkupshallbeusedfor
determining a decrease in price as the result of savings realized. The
Contractor shall present the Lottery with all vouchers and records of
expensesincurredandsavingsrealized.TheLotteryshallhavetherightto
audittherecordsoftheContractorasitdeemsnecessarytodeterminecosts
orsavings.Anyclaimforanadjustmentinpriceunderthisprovisionmustbe
asserted by written notice to the Lottery within thirty (30) days from the
date of receipt of the written order from the Lottery. If the parties fail to
Page25of68
J.
K.
L.
M.
agreeonanamountofadjustment,thequestionofanincreaseordecreasein
the Contract price or time for performance shall be resolved in accordance
withtheproceduresforresolvingdisputesprovidedbytheDisputesClause
of this Contract or, if there is none, in accordance with the disputes
provisions of the Lottery’s Purchasing Manual. Neither the existence of a
claim nor a dispute resolution process, litigation or any other provision of
thisContractshallexcusetheContractorfrompromptlycomplyingwiththe
changes ordered by the Lottery or with the performance of the Contract
generally.
CLARIFICATIONOFTERMS:
If any prospective Offeror has questions about the specifications or other
solicitation documents, the prospective Offeror should contact the buyer
whosenameappearsonthefaceofthesolicitationnolaterthanfiveworking
daysbeforetheduedate.Anyrevisionstothesolicitationwillbemadeonly
byaddendumissuedbythebuyer.
DEBARMENTSTATUS:
By submitting their proposal, Offerors certify that they are not currently
debarred by the Commonwealth of Virginia from submitting proposals on
contracts for the type of goods and/or services covered by this solicitation,
noraretheyanagentofanypersonorentitythatiscurrentlysodebarred.
DEFAULT:
IncaseoffailuretodelivergoodsorservicesinaccordancewiththeContract
terms and conditions, the Lottery, after due oral or written notice, may
procure them from other sources and hold the Contractor responsible for
any resulting additional purchase and administrative costs. This remedy
shallbeinadditiontoanyotherremedieswhichtheLotterymayhave.
DRUG‐FREEWORKPLACE:
DuringtheperformanceofthisContract,theContractoragreesto(i)provide
a drug‐free workplace for the Contractor's employees; (ii) post in
conspicuousplaces,availabletoemployeesandapplicantsforemployment,a
statement notifying employees that the unlawful manufacture, sale,
distribution, dispensation, possession, or use of a controlled substance or
marijuana is prohibited in the Contractor's workplace and specifying the
actions that will be taken against employees for violations of such
prohibition; (iii) state in all solicitations or advertisements for employees
placed by or on behalf of the Contractor that the Contractor maintains a
drug‐freeworkplace;and(iv)includetheprovisionsoftheforegoingclauses
in every subcontract or purchase order of over $10,000, so that the
provisionswillbebindinguponeachsubcontractororvendor.
For the purposes of this section, “drug‐free workplace” means a site for the
performanceofworkdoneinconnectionwithaspecificContractawardedto
a Contractor, the employees of whom are prohibited from engaging in the
unlawful manufacture, sale, distribution, dispensation, possession or use of
any controlled substance or marijuana during the performance of the
Page26of68
N.
O.
P.
Q.
Contract.
ETHICSINPUBLICCONTRACTING:
By submitting their proposal, Offerors certify that their proposal are made
without collusion or fraud and that they have not offered or received any
kickbacksorinducementsfromanyotherOfferor,supplier,manufactureror
subcontractor in connection with their proposal, and that they have not
conferred on any public employee having official responsibility for this
procurement transaction any payment, loan, subscription, advance, deposit
of money, services or anything of more than nominal value, present or
promised, unless consideration of substantially equal or greater value was
exchanged.
IMMIGRATIONREFORMANDCONTROLACTOF1986:
ByenteringintoawrittenContractwiththeLottery,theContractorcertifies
that they so not, and shall not during the performance of the Contract for
goods and services in the Commonwealth, knowingly employ an
unauthorizedalienasdefinedinthefederalImmigrationReformandControl
Actof1986.
INFORMATIONSECURITYREVIEW:
Should the Contractor's obligations involve creating, collecting, or storing
LotteryinformationwhichisdeemedsensitivebytheVirginiaStateLottery
Department, said Contractor shall participate in an annual information
security review conducted by the Virginia Lottery Information Security
Administratortoensurethatinformationprotectionpoliciesandpracticesof
the Contractor are sufficient for the Lottery information being created,
collectedand/orstored.
INSURANCE:
By signing and submitting a proposal under this solicitation, the Offeror
certifies that if awarded the Contract, it will have the following insurance
coverageatthetimetheContractisawarded.Forconstructioncontracts,if
any subcontractors are involved, the subcontractor will have workers’
compensationinsuranceinaccordancewith§§2.2‐4332and65.2‐800etseq.
oftheCodeofVirginia.TheOfferorfurthercertifiesthattheContractorand
any subcontractors will maintain this insurance coverage during the entire
term of the Contract and that all insurance coverage will be provided by
insurancecompaniesauthorizedtosellinsuranceinVirginiabytheVirginia
StateCorporationCommission.
MinimumInsuranceCoveragesandLimitsRequiredforMostContracts:
1.
Workers’ Compensation ‐ Statutory requirements and benefits.
Coverageiscompulsoryforemployersofthreeormoreemployees,to
include the employer. Contractors who fail to notify the
Commonwealthofincreasesinthenumberofemployeesthatchange
theirworkers’compensationrequirementsundertheCodeofVirginia
duringthecourseoftheContractshallbeinnoncompliancewiththe
Page27of68
2.
3.
4.
Contract.
Employer’sLiability‐$100,000.
Commercial General Liability ‐ $1,000,000 per occurrence.
CommercialGeneralLiabilityistoincludebodilyinjuryandproperty
damage, personal injury and advertising injury, products and
completedoperationscoverage.TheCommonwealthofVirginiamust
benamedasanadditionalinsuredandsoendorsedonthepolicy.
AutomobileLiability‐$1,000,000peroccurrence.(Onlyusedifmotor
vehicleistobeusedintheContract.
NONDISCRIMINATIONOFCONTRACTOR:
AOfferororContractorshallnotbediscriminatedagainstinthesolicitation
orawardofthisContractbecauseofrace,religion,color,sex,nationalorigin,
age, disability, faith‐based organizational status, any other basis prohibited
bystatelawrelatingtodiscriminationinemploymentorbecausetheOfferor
employsex‐offendersunlesstheLottery,departmentorinstitutionhasmade
awrittendeterminationthatemployingex‐offendersonthespecificContract
is not in its best interest. If the award of this Contract is made to a faith‐
based organization and an individual, who applies for or receives goods,
services,ordisbursementsprovidedpursuanttothisContractobjectstothe
religiouscharacterofthefaith‐basedorganizationfromwhichtheindividual
receives or would receive the goods, services, or disbursements, the public
body shall offer the individual, within a reasonable period of time after the
dateofhisobjection,accesstoequivalentgoods,services,ordisbursements
fromanalternativeprovider.
PAYMENT:
R.
S.
1.
ToPrimeContractor:
a)
Invoices for items ordered, delivered and accepted shall be
submitted by the Contractor directly to the payment address
shownonthepurchaseorder/Contract.Allinvoicesshallshow
the Lottery Contract number and/or purchase order number;
social security number (for individual contractors) or the
federal employer identification number (for proprietorships,
partnerships,andcorporations).
b)
Any payment terms requiring payment in less than 30 days
willberegardedasrequiringpayment30daysafterinvoiceor
delivery, whichever occurs last. This shall not affect offers of
discountsforpaymentinlessthan30days,however.
c)
AllgoodsorservicesprovidedunderthisContractorpurchase
order,thataretobepaidforwithpublicfunds,shallbebilled
by the Contractor at the Contract price, regardless of which
Page28of68
publicagencyisbeingbilled.
2.
d)
Thefollowingshallbedeemedtobethedateofpayment:the
dateofpostmarkinallcaseswherepaymentismadebymail,
or the date of offset when offset proceedings have been
institutedasauthorizedundertheVirginiaDebtCollectionAct.
e)
Unreasonable Charges. Under certain emergency
procurementsandformosttimeandmaterialpurchases,final
job costs cannot be accurately determined at the time orders
areplaced.Insuchcases,contractorsshouldbeputonnotice
that final payment in full is contingent on a determination of
reasonableness with respect to all invoiced charges. Charges
which appear to be unreasonable will be researched and
challenged, and that portion of the invoice held in abeyance
until a settlement can be reached. Upon determining that
invoicedchargesarenotreasonable,theLotteryshallpromptly
notify the Contractor, in writing, as to those charges which it
considersunreasonableandthebasisforthedetermination.A
Contractor may not institute legal action unless a settlement
cannot be reached within 30 days of notification. The
provisions of this section do not relieve the Lottery of its
prompt payment obligations with respect to those charges
whicharenotindispute.
ToSubcontractors:
a)
A Contractor awarded a Contract under this solicitation is
herebyobligated:
i.
Topaythesubcontractor(s)withinseven(7)daysofthe
Contractor’sreceiptofpaymentfromtheLotteryforthe
proportionateshareofthepaymentreceivedforwork
performedbythesubcontractor(s)undertheContract;
or
ii.
TonotifytheLotteryandthesubcontractor(s),in
writing,oftheContractor’sintentiontowithhold
paymentandthereason.
b)
The Contractor is obligated to pay the subcontractor(s)
interestattherateofonepercentpermonth(unlessotherwise
providedunderthetermsoftheContract)onallamountsowed
bytheContractorthatremainunpaidseven(7)daysfollowing
receipt of payment from the Lottery, except for amounts
withheld as stated in (2) above. The date of mailing of any
payment by U. S. Mail is deemed to be payment to the
Page29of68
addressee.Theseprovisionsapplytoeachsub‐tierContractor
performing under the primary Contract. A Contractor’s
obligationtopayaninterestchargetoasubcontractormaynot
beconstruedtobeanobligationoftheLottery.
3.
T.
The Lottery encourages contractors and subcontractors to accept
electronicandcreditcardpayments.
PERSONNELSECURITYCLEARANCES:
Section58.1‐4008oftheCodeofVirginia(VirginiaLotteryLaw)requiresthat
allBoardmembers,officersandemployeesofanyvendoroflotteryonlineor
instant ticket goods or services working directly on a Contract with the
Virginia Lottery for such goods or services shall be subject to a criminal
background search to be conducted by the chief security officer of the
Virginia Lottery. Additionally, Lottery Regulation 5‐20‐410 extends this to
include any parent or Subsidiary Corporation of the vendor, and any
shareholder of 5% or more of the vendor, its parent or Subsidiary
Corporation.
U.
V.
Nopersonwhohasbeenconvictedofafelony,bookmakingorotherformof
illegalgambling,orofacrimeinvolvingmoralturpitude,shallbeemployed
onContractswithvendorsdescribedinthissection.
NoBoardmember,officer,oremployeeofavendortotheVirginiaLotteryof
onlineorinstantticketgoodsorservicesworkingdirectlyonaContractfor
suchgoodsorservices,oranypersonresidinginthesamehouseholdofsuch
Boardmember,officeroremployee,shallpurchasealotteryticketorshare,
or receive a prize paid on a ticket purchased by or transferred to such
person.
PRECEDENCEOFTERMS:
The following General Terms and Conditions, APPLICABLE LAWS AND
COURTS, ANTI‐DISCRIMINATION, ETHICS IN PUBLIC CONTRACTING,
IMMIGRATION REFORM AND CONTROL ACT OF 1986, DEBARMENT
STATUS,ANTITRUST,MANDATORYUSEOFSTATEFORMANDTERMSAND
CONDITIONS, CLARIFICATION OF TERMS, PAYMENT shall apply in all
instances.IntheeventthereisaconflictbetweenanyoftheotherGeneral
TermsandConditions(withexceptionofAttachmentA,GeneralTermsand
Conditions for all work to be performed by the Landlord) and any Special
Terms andConditionsin this solicitation, theSpecial Terms and Conditions
shallapply.
QUALIFICATIONOFOFFEROR:
TheLotterymaymakesuchreasonableinvestigationsasdeemedproperand
necessary to determine the ability of the Offeror to perform the
services/furnish the goods and the Offeror shall furnish to the Lottery all
suchinformationanddataforthispurposeasmayberequested.TheLottery
reserves the right to inspect Offeror’s physical facilities prior to award to
satisfy questions regarding the Offeror’s capabilities. The Lottery further
Page30of68
VII.
reserves the right to reject any proposal if the evidence submitted by, or
investigationsof,suchOfferorfailstosatisfytheLotterythatsuchOfferoris
properlyqualifiedtocarryouttheobligationsoftheContractandtoprovide
theservicesand/orfurnishthegoodscontemplatedtherein.
W.
TAXES:
SalestotheCommonwealthofVirginiaarenormallyexemptfromStatesales
tax. State sales and use tax certificates of exemption, Form ST‐12, will be
issueduponrequest.DeliveriesagainstthisContractshallusuallybefreeof
Federal excise and transportation taxes. The Commonwealth’s excise tax
exemptionregistrationnumberis54‐73‐0076K.
X.
TESTINGANDINSPECTION:
The Lottery reserves the right to conduct any test/inspection it may deem
advisabletoassuregoodsandservicesconformtothespecifications.
Y.
TRANSPORTATIONANDPACKAGING:
Bysubmittingtheirproposal,allOfferorscertifyandwarrant thattheprice
offeredforFOBdestinationincludesonlytheactualfreightratecostsatthe
lowestandbestrateandisbasedupontheactualweightofthegoodstobe
shipped. Except as otherwise specified herein, standard commercial
packaging, packing and shipping containers shall be used. All shipping
containers shall be legibly marked or labeled on the outside with purchase
ordernumber,commoditydescription,andquantity.
Z.
USEOFBRANDNAMES:
Unless otherwise provided in this solicitation, the name of a certain brand,
makeormanufacturerdoesnotrestrictOfferorstothespecificbrand,make
or manufacturer named, but conveys the general style, type, character, and
quality of the article desired. Any article which the public body, in its sole
discretion, determines to be the equivalent of that specified, considering
quality,workmanship,economyofoperation,andsuitabilityforthepurpose
intended, shall be accepted. The Offeror is responsible to clearly and
specifically identify the product being offered and to provide sufficient
descriptiveliterature,catalogcutsandtechnicaldetailtoenabletheLottery
to determine if the product offered meets the requirements of the
solicitation. This is required even if offering the exact brand, make or
manufacturer specified. Failure to furnish adequate data for evaluation
purposes may result in a lower score of Offeror’s proposal. Unless the
Offeror clearly indicates in its proposal that the product offered is an
equivalentproduct,suchproposalwillbeconsideredtoofferthebrandname
productreferencedinthesolicitation.
METHODOFPAYMENTANDINVOICING:
Rent will be paid to the landlord by the Lottery for each year of the initial term
which will be paid in arrears, in monthly installments on the 10th day of the
subsequent month beginning on July 10, 2015, and on the same day each month
thereafter.Offerorshallprovidenameandaddresswherepaymentwillbesent.
Page31of68
VIII.
IX.
X.
Invoicesshallberendereddirectlyto:
VirginiaLottery
Attention:AccountsPayable
900EastMainStreet
Richmond,VA23219
Invoicemustcontainthefollowinginformation:
 VirginiaLottery’scontractnumber;
 descriptionofthegoodsandservices;
 dategoodsandserviceswereprovided;
 invoicetotal;
 Contractor’s Federal Identification Number or Federal Employer’s
Number.
Ifthisinformationisnotcontainedintheinvoice,theinvoicemaybereturnedtothe
Contractor.
DISCOUNTFORPROMPTPAYMENT:
Discountforpromptpaymentat:_______%/Net_____days(seeDiscountforPrompt
Paymentrequirementherein).ThisDiscountwillnotbecalculatedindetermining
lowbidamount(s).
PRICING:
TheOfferoragreestofurnishpremisesasspecifiedherein,andincompliancewith
thetermsandconditionsofthisRequestforProposalatthefollowingprice(s):
AnnualRentalRate$____________________x10Years=$_________________________
TenantImprovementAllowance:$_________________________________(one‐timefee;tobe
paidoutsideofannualrentalrate)
MovingAllowance:$_________________________________
Grand total price: $ _________________________________________ (calculated by adding the
10 years of the rental rate + the one‐time tenant improvement allowance – the
movingallowance)
ADDENDA:
Offerorherebyacknowledgesreceiptofandincorporationofallrequirementsofany
addendaissuedforthisRequestforProposals:
AddendumNo.___________________Dated___________________
AddendumNo.___________________Dated___________________
AddendumNo.___________________Dated___________________
Page32of68
XI.
SIGNATUREANDOFFERORPROFILESHEET:
Allproposalsmustbesignedbelowinordertobeconsidered.
All prices shall be F.O.B. to the delivery address(s) as specified herein. Freight,
deliverycosts,andincidentalchargesshallbeincludedintheproposalprice(s).
IncompliancewiththisRequestforProposal#clickheretoenterRFP#andsubject
to all conditions thereof, the undersigned offers and agrees to furnish any or all
itemsand/orservicesproposalherein.
CompleteLegalNameofFirm
Address
RemitToAddress
AuthorizedSignature
PrintName
TitleFIN#
EmailTelephone
OfferorProfile:OfferorshallindicatewhethertheyarecertifiedwiththeVirginia
DepartmentofMinorityBusinessEnterprisesasa(checkallthatapply)
SmallBusiness Minority‐OwnedBusiness Woman‐OwnedBusiness
CertificationNumber: ExpirationDate: Definitionsandinformationonhowtobecomecertifiedmaybeobtainedatwww.dmbe.virginia.gov
ContactpersonregardingthisProposal
Checkheretouseabovecontact orprovidenamebelow:
Name:
EmailPhone
Page33of68
XII.
OFFERORSCHECKLIST:
TheintentofthechecklististoassisttheOfferorinprovidingaresponsiveproposal.
Itmaynotincludealltherequirementsnecessarytosubmitaresponsiveproposal.
ItistheresponsibilityoftheOfferortoreadtheentiresolicitation.
Offerorhasclearunderstandingofgoods/servicesrequested
OfferorunderstandsandagreestoallSpecialandGeneralTerms&
Conditions
Anytables/boxeswithintheSpecialTermsandConditionsmustbe
completedbytheOfferor(Offerormustwriteinthesetables/boxes).
Offerorunderstandswhenproposalisdue
Offerorunderstandswheretomailordeliverproposal
Offerorunderstandsthatonceaproposalisopeneditisabinding
document
OfferorsignedandprovidedallinformationrequestedonRFPSignature
Page
OfferorunderstandsthatcontactwiththeContractSpecialistis
encouragedifanyquestionsarisepriortosubmittingaproposal
Page34of68
EXHIBITA
PROHIBITEDTERMS
Becauseofavarietyofspecificlawsand/orthedoctrineofsovereignimmunity,
departments,agenciesandinstitutionscannotagreetocertaintermscommonlyfoundin
realestateleases,agreementsandcontracts.Theprohibitedtermsinclude:
1.
AnyexpressorimpliedwaiverofthesovereignimmunityoftheCommonwealthof
Virginia,anydepartment,agencyorinstitution,oranyofitsortheirofficers,agents
oremployees.
2.
Anyagreementorpromisetoindemnify,defendorholdharmlessanypersonor
entity.
3.
Anyagreementtoprovideormaintaininsuranceorinsurancecoveragetoorforthe
benefitofanypersonorentity.
4.
Anyagreementthatprovidesforbindingarbitrationorotherbindingdispute
resolution.
5.
AnyestoppelagainsttheCommonwealthoradepartment,agencyorinstitution,or
anyagreementwhichrequirestheexecutionofanestoppelcertificate,orany
provisionthatwouldpreventtheCommonwealthfrommakingclaimsor
establishinganydefenseagainstclaims.
6.
Anyagreementthatconstitutesawaiverofsubrogationorwaiverofsubrogation
rights.
7.
Anyagreementrequiringorprovidingforthepaymentofanycosts,penaltiesor
liquidateddamages.
8.
Anyagreementpurportingtograntsecurityinterestsinpropertyofthe
CommonwealthofVirginia;and,anyagreementprovidingdefaultprovisionsthat
providefororauthorize(1)landlordtouseanyself‐helpremedies,(2)thedistress
orseizureofpropertyofthetenant,or(3)theblockingoftherightoftenant’saccess
toandremovalofpropertyandrecordsofthetenantfromtheleasedpremises.
9.
AnyprovisionprohibitingcollectionofdebtbytheCommonwealthofVirginiaor
anyofitsagenciesunderVirginiaCode§58.1‐520etseq(SetoffDebtCollectionAct).
10. Anyprovisionthatseekstoover‐ride,constrain,alteroramendtherequirementfor
appropriationoffundstobepaidbytheCommonwealthofVirginiaoranyits
agencies,departmentsorinstitutions.
11. Anyprovisionthatrequirespayingrentinadvance.
12. AnyprovisionthatmakestheCommonwealthliableforactionsofvisitorsor
invitees.
Page35of68
13. AnyprovisionthataltersarequirementoflawthatisbindingonStateagencies.
14. AnyprovisionthatrequirestheCommonwealthtoagreetoexecuteorabidebyany
futuredocument.Examplesaresubordinationagreementsthatmayberequiredby
thelender,ormodificationstothebuilding’srulesandregulations.Wecanaccept
suchprovisionsonlyifouragreementissubjecttotheapprovalofthedocumentby
theAttorneyGeneral’sofficeatthetimesuchdocumentismadeavailable.No
limitationsshouldbeplacedontherevieworapprovalbytheAttorneyGeneral’s
office.
Theseissuesarenon‐negotiable(exceptasnoted),andanycontraryprovisionsinalease,
contractoragreementareunenforceableagainsttheCommonwealthoritsagencies.Ifthe
landlordrefusestoabidebytheserestrictions,contacttheContractOfficerwhosename
appearsonthefrontofthissolicitation.
Page36of68
EXHIBITB
GUIDELINESFORINTERIORTENANTIMPROVEMENTS
Thislistingisintendedtobeacomprehensivedescriptionofthegenerallevelofacceptable
finishestheCommonwealthofVirginiaexpects,however,therequirementsofthetenantwill
varyfromsitetositeandspecificfinisheswillbedefinedinthecourseofthedesignofthe
tenantimprovements.
AmericansWithDisabilitiesAct(“ADA”)Accessibility
•
AllfacilitiesshallcomplywithapplicableADAcodesandregulationsforaccessand
abilitytoworkinabarrierfreespace.
•
Accessiblefacilitiestoincludeparking,buildingentrance,elevators,toiletsand
otherancillaryspacesaswellastenantofficeareas.
Environmental
•
Thebuildingistobefreeoffriableasbestos,orfriableasbestosmustbeproperly
abatedpriortooccupancy.AsbestosContainingMaterials(“ACMs”)mustbe
managedunderanappropriatemanagementplan.Certificationwillberequiredas
partofthelease.
•
OnlylowVolatileOrganicCompound(“VOC”)adhesives,paintandothermaterials
tobeused.
•
Spacetobemoldfree.Certificationofmoldfreeenvironmentmayberequired.
Ceiling
•
Lay‐inacoustical2’x2’tileswithsuspendedgrid,withminimumNoiseReduction
Coefficient(“NRC”)of0.65.
Lighting
•
Luna2’x4’recessedindirectlightwithnarrow4”perforatedcenterbasket
fluorescentfixtureswithenergyefficientlamps(T‐8orbetter)andelectronic
ballastsshallbeprovided.Fixturesshallbecapableofproducingandmaintaininga
uniformlightinglevelof50‐footcandlesatworkingsurfaceheightthroughoutthe
space.Indirectlightingtobesuspendedwhenceilingheightallows.
•
Restroomlightingshallbe30footcandlesmeasuredatcounterheightand20foot
candlesmeasuredatthefloorinenclosedcorridors.
•
Dimmableballastfluorescentorzonedlightsshallbeprovidedfor
conference/trainingroomsandreceptionareas.
•
Emergencyegresslightingasrequiredbyapplicablelifesafetycodesshallbe
providedthroughouttheentirespace.
Walls
•
Gypsumwallboard,minimumthicknessof5/8”withstudsatamaximumof24”on
center,level4finish.
•
Acousticaltreatmentinwallsforallconference/meeting/trainingrooms,e.g.3½”
soundattenuationbattinsulation.
•
Wallstobefinishedwithprimerandtwofinishcoatsofpaint.PainttobeBenjamin
Moore0%VOCcommercialpaint,eggshellfinish.Tenantwillhavetheoptionto
selectuptofour(4)differentcolors.
Page37of68
•
Trim/caseworktobefinishedwithprimerandtwo(2)finishcoats.Colortobe
selectedbytenant.
Windows
•
1”wide,metalblademiniblindsshallbeprovidedandinstalledonexterior
windows.
•
Miniblindstobeinstalledonallinteriorwindows.
•
Shatterproofglassshallbeinstalledatcustomerservicecounterlocation.
Doors
•
Flushsolidwoodcore.
•
Minimum3’‐0”widex7’high.
•
ADAcompliantleverhardware.
•
LocksandclosersprovidedasrequiredincompliancewithADAandasrequiredby
tenant.
•
Electricdooropenerforrollupdooronrear,minimum12’highand10’wide.
Floor
•
Finishedfloortobe½”over10feetlevelandclean,readytoreceivecarpetor
resilientflooring.
Carpet
•
Branded100%nylonwithminimumdensityof6,000.
•
Minimumfaceweightforcarpettilestobe20oz.persq.yd.
•
Minimumfaceweightforbroadloomproductstobe26oz.persq.yd.
•
Carpettobe“PatcraftCommercialCarpets”,HOMEROOMII,28oz.,I0102,
cramming00526.Rollgoodspreferred.
ResilientFlooring
Acceptable:
•
IfVinylCompositiontileisspecified/used–12”x12”,Armstrong,Tarkett,orequal.
•
IfCeramicTileisspecified/used–thinsetin12”x12”Crossvilleorequal.
•
JohnsoniteRubberTile(color#48Gray)raiseddiskstobeusedinhightrafficarea
(travelpath)inthelobby.
VinylBase
•
Shallbe1/8”gaugex4”high,coveprofileinlongestlengthspossible,continuous
rollpreferred.
•
NAFCOwallbase(CB)BlueGreyCB69
Casework
•
TomeetArchitecturalWoodworkInstitute(“A.W.I.”)Standardforcustomgrade.
•
Highpressureplasticlaminateonallexposedsurfaces.
•
TobedesignedandconstructedtomeetADAcodes.
•
Solidsurfacecountertopsonalltoiletshavingmultiplefixtures.
•
Storageshelvingasrequiredbytenant.
ElectricalPower
•
7.5wattpersquarefoot.
Page38of68
•
•
Cleansourcepoweravailable,freeofdistortionandharmonics.
Coredrillsasneededfortenantsystemsfurniturelayout.
SprinklerSystem
•
Certified,compliant,fullyoperationalsprinklersystemtobeprovidedtomeetlocal
buildingcodes.
HVACSystem
•
Mustprovideatemperaturethroughoutthebuildingofnotlessthan68°Fnormore
than74°Fyearround,duringregularbusinesshoursoftheoccupants,witha
minimumof20%relativehumiditywhenheatisbeingprovidedandwitha
maximumof60%relativehumiditywhenairconditioningisbeingprovided.
•
Provideterminaldeviceevery1,200squarefeet.
•
FreshairexchangeratesandCO2levelsshallcomplywithVentilationStandardfor
VirginiaMechanicalElectricalPlumbing(“MEP”)Code62.1,2007.
•
ExistingHVACsystemswillrequireinspectionandcertification.
CoffeeBreakRoom(s)
•
Waterlinesforsupplyanddrainage.
•
Caseworkandpowerforappliances.Appliancessuppliedbylessorandshallinclude
countertopmicrowaveandarefrigeratorwithanicemaker.
ExhaustSystem
•
Requiredforalltoiletfacilities.
DrinkingFountains
•
Thelessorshallprovideaminimumofone(1)chilledwaterdrinkingADA
compliantfountainoneachfloor.Travelfromanypartoftheleasedspacetothis
waterfountainmustnotexceed150linearfeet.
Cabling/Telecommunications/Electrical
•
Accessibleandappropriatelysizedconduitfromthedemarcationpointtoall
occupiedfloors.
•
Coredrillsasneededtoaccommodatetenant’ssystemsfurniturelayout.
•
1”conduitwithinthepremises.
•
Telecommunicationswiringtobeprovidedbythetenant.
•
Securitysystemwiringtobeprovidedbythetenant.
Reception/LobbyArea
•
Builtincounterwithtopandstorage
•
Shatterproof,securityglassabovecounter
•
Caseworkandpower
VaultArea
•
Perimeterwallstobereinforcedandbuilttoundersideofroofdeck
•
Entirevaultareaceilingtobesheetrockreinforced
•
Requirescardreader
Page39of68
ServerRoom(s)/ComputerRoom(s)
•
VinylCompositionTile(“VCT”)orraisedfloor,ifrequired.
•
Fullheightinsulatedwalls.
•
SupplementalHVACsystem.
•
Separateelectricalpanelwithanemergencyshutoffbuttonwithintheserverroom.
ITCloset(s)
•
HVACandreturnductorventtoallowwarmairtoevacuate.
•
Five(5)110VACquad‐serviceoutlets,two(2)eachfortelecommunicationsand
computerstaffandone(1)forsecurity.
Warehouse
•
Ceilingheightminimumof14’.
•
Warehouserollupdoorsizeof12’Hx10’W.
Page40of68
EXHIBITC
DEEDOFLEASE
ThisDEEDOFLEASE(the"Lease")isdatedthe______dayof_________,20__,between
_____________________________________________________[NAMEINALLCAPS],aVirginiacorporation
/limitedpartnership/limitedliabilitycompany,asGrantor("Landlord"),andthe
VIRGINIALOTTERY,asGrantee("Tenant"),withapprovaloftheGovernorpursuantto§
2.2‐1149oftheCodeofVirginia(1950),asamended.
WITNESSETH:
Forandinconsiderationoftheterms,conditions,covenants,promisesandagreements
hereinmade,LandlordleasestoTenantthefollowingpropertyorpremises(the
"Premises"),togetherwithfullrightsofingressandegress,intheCity/Countyof___________,
Virginia.ThePremisesaremoreparticularlydescribedas:
Approximately_______rentablesquarefeet[knownasSuite___/locatedonthe___
floor]of[insertstreetaddress,incl.zipcode](the“Building”),alongwiththenon‐
exclusiveuseof__parkingspacesintheparkinglotadjacenttotheBuilding[Note:
thisisonlyanexample;modifyasappropriatebutbesurethatyoudefinethe
“Building,”includingthenameoftheBuilding,ifithasone.]
AsketchoftheproposedspaceplanofthePremisesisattachedheretoasExhibitA.
1.
LANDLORDWARRANTY. LandlordwarrantsthatLandlordalone,atthetimethis
Leaseisexecuted,hastherighttoleasethePremises,withouttheconsentofany
otherparty.ItisexpresslyunderstoodandagreedthatthiscovenantbyLandlord
constitutesawarranty.IfLandlorddoesnothavethisright,thenTenant,inaddition
toanyotherremedyavailableatlaworinequity,mayimmediatelydeclarethis
Leasenullandvoidfromitsinceptionandofnoforceandeffect,withoutnotice.In
suchevent,norentshallaccrueorbedeemedtohaveaccruedforthetermofthis
Lease,orforanypartoftheterm,andLandlordshallbeliableforanydamages
incurredbyTenantasaresultofsuchbreach.
2.
USEOFPREMISES.
PermittedUses.ThePremisesshallbeusedasgeneralofficesorforsuchpurposes
astheOccupant(s)maynoworhereafterbeempoweredorauthorizedbylawtouse
same,providedthatsuchusesareconsistentwiththezoningregulationsand
ordinancesapplicabletotheBuilding.OccupancybytheInitialOccupant(s)is
herebyapprovedbyLandlord.
3.
TERM.TheinitialtermofthisLease(the"InitialTerm")shallbe___________(__)
months(s)/year(s),beginningon_________20__,(the"CommencementDate")and
terminatingon_____________20__(the"TerminationDate"),subjecttotheprovisions
ofAttachmentA.TheCommencementDateshallbeconfirmedbyLandlordand
TenantbytheexecutionofawrittencertificateofcommencementoftheInitial
TermfollowingoccurrencethereofintheformattachedheretoasExhibitB.
Page41of68
4.
RENT.
(a)
AmountandPayment.TenantshallpayLandlordthesumof _______________________and__/100Dollars($___________)asbaserent(the"Base
Rent")fortheInitialTermwhichshallbepaidinarrears,inmonthly installmentsof___________________________Dollars($____________),onthe10thday
ofthesubsequentmonthbeginningon___________,20__,andeachmonth
thereafter.ThepaymentofallRent(whichtermincludesBaseRentandall
AdditionalRent)shallbemadepayableto_______________________________and
mailedto:
(Name)
(Address)
ortosuchotherpersonorentityoratsuchotheraddressasLandlordmay
designatefromtimetotimebywrittennoticetoTenant.
(b)
OperatingExpensePassThrough
(i) BeginningwiththeCommencementDate/thefirstdayof_______,20__
andcontinuingthroughouttheInitialTerm,andanyextensionorrenewal
thereof,TenantshallpaytoLandlord,asAdditionalRent,itsproratashareof
anyincreaseintheannualoperatingexpenses(“OperatingExpenses”)overa
baseyearof20__(the“BaseYear”,forwhichtheOperatingExpensesshallbe
referredtohereinasthe“BaseYearOperatingExpenses”).Estimated
AdditionalRentshallbepaidmonthly,inarrears,withthepaymentofBase
Rentfortheapplicablemonth.Landlordagreestouseitsbesteffortsto
minimizeOperatingExpensesthroughprudentbusinesspractices,and,when
appropriate,Landlordwill"comparativeshop"forreasonablepricesof
goods,work,services,insurance,etc.Landlordshallberesponsibleforthe
directandtimelypaymentofallOperatingExpenses.Tenant'sproratashare
shallmeantheproportionthatthenumberofrentablesquarefeetofthe
Premisesbearstotheaggregatenumberofrentablesquarefeetinthe
Building.AsofthedateofthisLease,theaggregatenumberofrentable
squarefeetintheBuildingis_________andTenant’sproratasharewillbe
_____%.Thisratioshallbemodifiedasappropriate,exceptthatitshallnotbe
modifiedsoastoincreaseTenant’sshareofallOperatingExpensesunless
themodificationistheresultofanactionbyTenantorarequestmadeby
TenanttoLandlord.
(ii) ForpurposesofdeterminingTenant’sproratashareofOperating
Expenses,ifatanytimeduringtheBaseYeartheBuildinghadlessthan95%
occupancy,thentheBaseYearOperatingExpensesshallbeadjustedby
increasingtheamountofOperatingExpensesthatarevariableinnatureto
occupancylevels(e.g.,utilities,managementfeespayabletothirdparties
basedongrossrentalincome,trashremovalandjanitorialservices)that
wouldhavebeenpayablehadtherebeen95%occupancyintheBuilding,and
eachsubsequentyearshalllikewisebeadjustediftherewaslessthan95%
Page42of68
_______________________________________
_______________________________________
_______________________________________
occupancyintheBuildingatanytimeduringsuchsubsequentyear.
(iii) Theterm“OperatingExpenses”meansexpensesincurredbyLandlord
withrespecttotheownership,maintenance,repairandreplacementcostsof
theCommonAreasandshallinclude:electricity,fuel,water,sewer,gasand
otherutilitycharges;security,windowwashingandjanitorialservices;trash
andsnowandiceremoval;wagesandbenefitspayabletoemployeesof
Landlordwhosedutiesaredirectlyconnectedwiththeoperationand
maintenanceoftheCommonAreas.Itshallalsoinclude,withrespecttothe
entireBuilding,managementfeespayabletothirdpartiesnotinexcessof3%
ofGrossRentalRevenueoftheBuilding;realestatetaxes,andinsuranceas
describedinSection9(c).IfLandlord’semployeesprovideservices connectedtootherpropertiescontrolledbyLandlordinadditiontothe
Building,orprovideservicestoportionsoftheBuildingoccupiedorintended
foroccupancybyothertenants,thenonlythosewagesandbenefitsproperly
allocatedtotheCommonAreasshallbeallocatedtoOperatingExpenses.As
usedinthisLease,“CommonAreas”shallmeanallexteriorareasofthe
propertyonwhichtheBuildingislocated,theexterioroftheBuilding,all
interiorareaswithintheBuildingthatarenotleasedorintendedforleaseto
thirdparties,andallsystemsthatservicetheBuilding(butexcludingthose
portionsofsystemsthatserviceonlyportionsoftheBuildingthatareleased
orintendedforleasetothirdparties).[Note:Thisdefinitionmayrequire
modificationifthereismorethanonebuildinglocatedontheproperty
ownedbyLandlord.Thenatureofthemodificationcanvarydepending
ontheintentoftheparties]
“OperatingExpenses”shallalsoincludejanitorialservicesandutilitycosts
fortheentireBuilding,includingthePremisesandotherareasthatareleased
orareavailableforlease,subjecttotheprovisionsofthisparagraph:
(A)Utilitycostsshallbeincludableonlytotheextentthatusageby
anytenantisnotmateriallyinexcessofgeneralofficeusage.Any
spacethathasanexcessiveusage,suchasofficeswithmainframe
computersorserverbanks,orrestaurantsandotherfoodservice
establishments,shallbeexcluded.ExcludedareasoftheBuilding
shallbeseparatelymetered,andTenant’spro‐ratapercentageshallbe
modifiedwithrespecttoutilitycoststotakeintoconsiderationthe
exclusionofsuchareasoftheBuilding.
(B)UtilitycostsshallbeincludableonlytotheextentthatHVAC
servicehoursforothertenantsdonotexceedtheweeklyservice
hoursforTenantsetoutinthisLease(withoutregardforholidays).If
theutilitycostsforaleasedareaareincludableasanOperating
Expensepursuantto“A”above,thenthecostofanyHVACusageby
thattenantinexcessofsuchhoursshallbesubtractedfrom Landlord’sutilitycosts(basedonthehourlyratechargedtoTenant
forover‐hoursusage)whetherornotreimbursedbysuchtenant.
(C)JanitorialservicesshallbeincludedinOperatingExpensesonlyto
theextentthattheservicesofferedtoothertenantsdonotinclude
servicesnotofferedtoTenant.Thereasonablevalueofservices
providedtoanytenant(butnotprovidedtoTenant)shallbe Page43of68
subtractedfromLandlord’sjanitorialexpenseswhetherornot
reimbursedbysuchothertenants.
(D)Landlord’sannualreconciliationstatement(seesubsection(b)(v)
below)shallprovidesufficientinformationtoaddresstheprovisions
ofthisparagraph;ifnot,thentheOperatingExpensesaddressedin
thisparagraphshallnotbesubjecttoreimbursementbyTenant.
(iv)OperatingExpensesshallnotincludethefollowing:incomeandfranchise
taxesofLandlord;mortgageorotherfinancingcostsofanynature;capital
expensesthatforaccountingpurposesbecomedepreciableassetsorthat
otherwiseenhanceorenlargetheBuilding;coststhatarereimbursed
directlybyanothertenantorforservicesprovidedtosometenants specificallybutnottenantsasawhole;costsrelatingtolimitedCommon
Areasthatareavailableforusebysomebutnotalltenants;coststhatare
incurredasaresultofthenegligenceorwillfulmisconductofLandlordorits
employees,members,officersoragents;costsincurredtocorrectany
constructiondefectorfailuretocomplywithanygovernmentalrequirement;
salaries,trainingorotherbenefitspaidbyLandlordoranymanagement
companytotheirrespectiveemployees,members,officersandagents;
attorneyfees;leasingcommissions;redecoratingandsuitepreparationcosts
forneworrenewaltenants;promotionalfees,marketingexpensesortenant
retentionexpenses(includingpartiesandseasonaldecorations);or(except
fordeterminingtheBaseYearOperatingExpenses)anycostsincurredbefore
thedateofacceptanceofthePremisesbyTenantorafterthisLeaseexpires.
Furthermore,OperatingExpensesshallnotincludeanyexpensesthatare
paidorreimbursedbyLandlord'sinsurer,orthatwouldhavebeenpaidby
Landlord'sinsurerbutforLandlord'sfailuretoacquireandmaintainfireand
hazardinsurancefortheBuilding.Also,OperatingExpensesshallnotinclude
latecharges,interestcharges,handlingchargesorpenaltiesincurredby
Landlord;norshalltheyincludethecostsofcapitalimprovements, renovationsorrepairstoanyportionoftheBuildingthatareleased,or
availableforlease,totenants;norshalltheyincludeLandlord’sgeneral
overheadandadministrativeexpensesthatarenotproperlychargeableto
operatingexpensesfortheBuilding.
(v)Landlordshall,onanannualbasis,notlaterthanMay1ofeachyear,
beginninginthecalendaryearfollowingthecommencementofthe obligationtopayAdditionalRentforOperatingExpenses,provideTenant
withadetailed,itemizedstatementthatdescribesallOperatingExpensesfor
thepriorcalendaryear,including,within15daysafterrequestbyTenant,
anyandalldocumentsreasonablyrelatedthereto,suchascopiesofthe
applicableledger,invoicesandpaidreceipts.Landlordshallalsoprovidea
statementconfirming:(A)theratio(asdescribedabove)thatwasappliedto
thetotalofallOperatingExpensesandthecalculationsusedtoarriveat
Tenant’sproratashare;(B)theGrossRentalRevenuefortheBuildingforthe
prioryear;(C)theaverageoccupancyrateoftheBuildingfortheprioryear
andtheadjustmentsmadetocomplywiththe95%grossupfactor (subsection(b)(ii))and(D)theinformationnecessarytoproperlydetermine
allowablejanitorialexpensesandutilitycostsassetoutinthesecond
Page44of68
paragraphofsubsection(b)(iii).“GrossRentalRevenue”shallmeanthebase
rentpaidbyalltenantsoftheBuildinginconsiderationforspaceleasedin
theBuilding.IfLandlordfailstoprovideTenantwiththedocumentation
describedabove(includingtheconfirmationstatement)within30daysof
theduedatethereof,thepaymentofallAdditionalRentforOperating
Expensesinthesubjectyeariswaived,and,Tenantisauthorizedtoapply
anyamountpreviouslypaidasacreditagainstanyamountthereafterdueto
Landlord.
Subjecttotheotherprovisionsofthissubsection(b),basedontheaforesaid
statementsandtheamountactuallypaidbyTenantduringtheapplicable
year,LandlordshallreimburseTenantorTenantshallpayLandlord,asthe
casemaybe,theamountduetheotherparty,withinforty‐fivedaysfollowing
deliverytoTenantoftheitemizedstatement.Tenantand/ortheVirginia
StateAuditorofPublicAccountsshallhavetherighttoauditLandlord’s
records,includingitsledger,relatingtoOperatingExpensesandtorequire
satisfactoryevidenceofpaymentofanyandallOperatingExpensesincluding
copiesofsupportingtaxbills,vouchersandinvoices.AdditionalRentfor
OperatingExpensesshallbeadjusted,subjecttotheprovisionsofthis
Section(4)(b),basedontheresultsoftheaudit.Tenantshallberesponsible
forallaudit‐relatedexpenses;provided,however,thatifitisdeterminedby
theauditthatLandlordoverchargedTenantbymorethanthreepercent
(3%),thenLandlordshallreimburseTenantforthereasonablecostofthe
audit‐relatedexpenses.
(vi)EstimatedAdditionalRentforOperatingExpensesshallberevised
annuallybasedontheactualAdditionalRentforOperatingExpensesthat
TenantisobligatedtopayLandlordforthepriorcalendaryear(orbasedon
theBaseYearOperatingExpenseswithrespecttotheinitialyearinwhich
TenanthasanyobligationtopayLandlordanyAdditionalRentforOperating
Expenses).AstheactualAdditionalRentforOperatingExpensesforthe
priorcalendaryear,ortheBaseYearOperatingExpenses,asthecasemaybe,
willnotbeknownatthecommencementofthesubsequentyear,Tenantwill
continuetopayatthemonthlyrateineffectforthepriorcalendaryear(zero
dollarsinthecaseofthefirstyearthattheobligationtopayAdditionalRent
forOperatingExpensesexists)untilthefirstmonthlypaymentthatisdueat
leastforty‐five(45)daysafterreceiptoftheprioryearreconciliationof
OperatingExpenses(ortheBaseYearOperatingExpenses,ifapplicable)
fromLandlord.Anyadditionalamountdueforthepriormonthsofthe
currentyearshallbedueandpayableforty‐five(45)daysafterreceiptofthe
aforesaidreconciliation.Nevertheless,theamountthatTenantisobligated
topaypursuanttothisprovisionissubjecttotheotherprovisionsof subsection(b).
Example:DuringYearX,Tenantpaid$24,000asAdditionalRent.Asaresult
ofthereconciliationstatement,Tenant’stotalobligationforYearX(taking
intoconsiderationany“cap”asdescribedinsubsection(b)(viii))is$25,980.
ThereconciliationstatementisreceivedbyTenantonApril30ofYearY(the
yearfollowingYearX).AdditionalRentinYearYshallcontinueattherateof
Page45of68
$2,000permonththroughtheAdditionalRentpaymentforthemonthofMay
(dueonJune10).BeginningwiththeAdditionalRentpaymentdueonJuly
10(forthemonthofJune,beingthefirstpaymentduethatismorethan45
daysfromreceiptofthereconciliationstatement),Tenantwillpay$2,165
permonthasAdditionalRent.Paymentoftheadditional$165permonthfor
JanuarythroughMaywillbedueinalumpsumonJune14(45daysfrom
receiptofthereconciliationstatement).
(vii)Intheeventthatthefirstand/orlastyearduringthetermofthisLease
isnotequaltotwelvefullmonths,Tenant’sshareofAdditionalRentfor
OperatingExpenseswillbeproratedbasedontheactualnumberofmonths
duringsuchyearthatthisLeasewasineffect.
(viii) NotwithstandinganyotherprovisionofthisSection,innoeventshall
Tenant’sshareofOperatingExpensesincreasefromanycalendaryeartothe
immediatelysucceedingcalendaryearbymorethan___%,excludingfrom
suchcalculationthecostofrealestatetaxesandinsurance.Inthefirstyear
forwhichAdditionalRentforOperatingExpensesisdue,thecapshallbe
basedontheBaseYearOperatingExpenses(adjustedbythe95%gross‐up
provision,ifapplicable),pro‐ratedintheeventthatsuchfirstyearisless
thanafullcalendaryear.Thecapshallbefurthersubjecttothefollowing:
(A) Thecapshallapplytothetotalofallapplicableexpensesasopposed
toindividualexpenseitems.
(B) AftertheinitialcalendaryearforwhichAdditionalRentforOperating
expensesaredue,thecapshallbeappliedtotheactualAdditional
RentforOperatingExpensesforthepriorcalendaryearafterallother
adjustmentshavebeenmadeforsuchpriorcalendaryearpursuantto
thissubsection(b).
(C) TheamountdueforthefinalcalendaryearofthisLeaseshallbepro‐
ratediflessthanafullcalendaryear.
(D) If,atanytimeduringthetermofthisLease,Tenant’spro‐ratashareof
allexpensesshallbechangedasprovidedinsubsection(b)(i),then
thedollarvalueofthecapshallbeadjustedtotakeintoconsideration
thechangetothepro‐ratashare.
(c)
SecurityDeposit.Nosecuritydepositshallberequired.
(d)
Abatement.Rentshallbeabatedfor______(__)monthscommencingonthe
CommencementDate(the“AbatementPeriod”).
(e)
VerificationofSquareFootage.Priortooccupancy,Tenantshallhavethe
righttoindependentlyverifyRSFcomputedinaccordancewiththeAmerican
NationalStandardofmeasuringfloorareainofficebuildingsoftheBuilding
OwnersandManagersAssociationInternational(ANSIZ65.1‐1996).
(f)
CableInstallation.TenantshallhaveRent‐freeaccessduringconstructionto
installcablingpriortoLandlord’scontractor’senclosureofwallsandceilings,
providedthatTenant’scontractorsshallcoordinatetheirworkandnot
interferewithLandlord’scontractors.
Page46of68
5.
6.
POSSESSIONANDCONDITIONOFPREMISES.
(a)
QuietPossessionandEnjoyment.Landlordshalldeliverquietpossessionof
thePremisestoTenantontheCommencementDateandshallprovidequiet
enjoymentofthePremisestoTenantduringtheInitialTerm,andany
renewalsorextensionsthereof.
(b)
BuildingandOccupancyCodes;ConditionSuitableforIntendedUse.Onthe
CommencementDate,LandlordshalldeliverthePremisestoTenantingood
repair,incompliancewithallapplicablebuildingandoccupancycodes,and
inaconditionsuitabletotheuseforwhichitisleased.
(c)
LandlordEntry.Landlord,anditsemployees,agentsandcontractors,shall
havetherighttoenterandpassthroughanypartofthePremises,without
priornotice,onlyinthecaseofanemergencyandtoprovideroutine janitorialservicesconsistentwiththisLease.IfLandlord,orLandlord's
employees,agentsorcontractors,mustenterthePremisesinthecaseofan
emergency,thenassoonaspracticablebeforeoraftersuchemergency
entrance,Landlord,orLandlord'sagent,shallcontact ______________________________(Telephone#___________)[Note:thiswillbetheon‐
sitecontactpersonfortheOccupant].Thiscontactpersonmaybechanged
bypropernoticetoLandlord.TenantmaydirectLandlordtogivesuchnotice
toacontactpersonwitheachOccupantwhoseportionofthePremiseshas
beensubjecttoanemergencyentry.
(d)
Asbestos.Landlordcovenantsthat(i)thePremisesandtheBuildingarefree
offriableasbestosthatisnotmanagedunderamanagementplanprepared
byanAsbestosManagementPlannerlicensedbytheVirginiaDepartmentof
ProfessionalandOccupationalRegulation;and(ii)anyfriableasbestos
discoveredinorontheBuildingorthePremisesshallbepromptlyand
properlyremovedbyLandlord,atLandlord'ssoleexpense(nottobe includedasanOperatingExpense),incompliancewithapplicablefederal,
stateandlocallawsandregulations,providedthat,iftheasbestoswas
introducedintothePremisesbyTenantoranOccupant,thecostofthe
removalthereofshallbeTenant’sexpense.
MAINTENANCE.
(a)
ConditionatCommencementDate.Landlordwarrantsthatonthe CommencementDate,thePremisesandallitsequipment,includingthe
plumbing,heating,ventilationandairconditioningequipmentandsystems:
(i)shallbeingoodrepairandgoodworkingorder;and(ii)freeoftermiteor
otherpestinfestationanddamage.
(b)
CompliancewithLaws.LandlordshallequipthePremisesandperformall
alterations,replacements,improvements,decontamination,andadditionsto
thePremisesandtheequipmentuponthePremises,atLandlord'sexpense
(butsubjecttotheprovisionsofSection4(b)),asshallbenecessaryatany
timeduringtheInitialTermofthisLease,oranyextensionorrenewal
Page47of68
thereof,tocomplywiththeprovisionsoffederal,Stateandlocallawsand
regulationspertainingtohealth,safety,publicwelfare,andenvironmental
protection,includinglawsandregulationspertainingtoasbestos,carbon
monoxide,polychlorinatedbiphenyls,ureaformaldehyde,leadpaint,radon,
petroleumproductstoragetanks,andfreon,regardlessoftheeffectivedate
oflaworregulationunlessthePremisesaregrandfatheredfromsuchlawsor
regulations.Thissubsectionshallnotapplyifthenecessityforcompliance
withtheselawsarisesfromagrosslynegligentorwillfulactofTenantandits
employeesandTenantisfoundbyacourtofcompetentjurisdictiontobe
liableforsuchactsundertheVirginiaTortClaimsAct,orthe Commonwealth’sDivisionofRiskManagementconsentsthatTenantisso
liable.
(c)
CompliancewithTechnicalRequirements;HVACSpecifications.Itshallbe
thesoleresponsibilityandobligationofLandlord,atitsexpenseandin
accordancewithapplicablelaws,technicalpublications,manualsand standardprocedures,butsubjecttotheprovisionsofSection4(b),to(i)
properlymaintain,repairandreplaceallthestructuralportionsofthe
Premises,includingfoundation,sub‐floor,structuralwallsandroof,aswell
astokeepthePremisesandallequipmentandnon‐tradefixtures(exclusive
ofequipmentandnon‐tradefixturesownedbyTenantoranOccupant),in
goodworkingorderandtoperformanyrequiredrepairs,replacementand
maintenance,and(ii)keepallplumbing,heating,airconditioning,electrical
andmechanicaldevices,appliancesandequipmentofeverykindornature
affixedtoorservingthePremisesingoodrepair,conditionandworking
order.Asusedherein,theword"repair"shallbedeemedtoinclude replacementofbrokenorcrackedglass.Allequipmentandsystems (exclusiveofequipmentandsystemsownedbyTenantoranOccupant)shall
bemaintainedtoprovidereliable,energyefficientservice,withoutunusual
interruption,disturbingnoises,exposuretofireorsafetyhazards,
uncomfortabledrafts,excessiveairvelocities,orunusualemissionsofdirt.
AtLandlord’sexpense,butsubjecttotheprovisionsofSection4(b),Landlord
shallcausetheHVACSystemtoprovideatemperaturethroughoutthe
Premisesofnotlessthan68ºFnormorethan74ºFyearround,during
regularbusinesshoursoftheOccupants,withaminimumof20%relative
humiditywhenheatisbeingprovidedandwithamaximumof60%relative
humiditywhenairconditioningisbeingprovided.Freshairexchangerates
andCO2levelsshallcomplywithASHRAEVentilationStandard62(2001).
(d)
OtherMaintenance.Allothernecessaryorrequiredmaintenance,repairs
andreplacementstothePremisesandCommonAreasshallbethesole
responsibilityandexpenseofLandlord,subjecttotheprovisionsofSection
4(b).Landlord'smaintenanceresponsibilitiesshallincludethesupplyand
replacementofallsupplies,materialsandequipmentnecessaryforsuch
maintenance.SubjecttotheprovisionsofSection4(b),Landlordshall
providejanitorialservicestothePremisesfive(5)daysperweek,exclusive
ofStateholidaysiftheOccupant(s)willnotbeopenforbusiness.
SpecificationsforjanitorialservicesaresetoutinExhibitE.Janitorial
servicesofadisruptivenature,suchaswashing/waxingfloorsand Page48of68
vacuuming,shallbeperformedafterregularbusinesshours.
(e)
Tenant’sNegligenceorWillfulActs.Landlordshallnotbeobligatedtomake
anyrepairstothePremisesduetodamagecausedbythegrosslynegligentor
willfulactsofTenant,oritsagents,employees,orcontractors.
(f)
FailuretoMaintain.IfLandlordfailstocomplywithanyofitsobligations
underthisSection6,orfailstokeep,repairandmaintainthePremises,
includingallplumbing,heating,airconditioning,electricalandmechanical
devices,theroofingsystem,andappliancesandequipmentofeverykindor
natureaffixedtoorservingthePremises,ingoodrepair,conditionand
workingorderasprovidedinthisSection,thenTenantshallgivewritten
noticethereoftoLandlord.Ifthefailurehasnotbeenremediedwithin
________()daysfollowingsuchnotice,thenTenant,atitsoptionandwitha
secondwrittennoticetoLandlord,mayeitherterminatethisLeaseandall
obligationshereunder,orproceedtomake,orcausetobemade,such
upkeep,repairandmaintenance,atLandlord'sexpense.Tenantmaydeduct
thecostthusincurredinfulfillingLandlord'sobligationsunderthisLease
fromfutureRentpaymentsand/ormaycollectthecostfromLandlordinany
mannerprovidedbylaw.Nonoticeofterminationshallbegivenunderthis
SectionifLandlordhasphysicallycommencedsuchrepairsoriscausingsuch
repairstobemade,andsuchrepairworkisbeingdiligentlyandcontinuously
pursuedtocompletioninagoodandworkmanlikemanner.Furthermore,if
thefailurehasnotbeenremediedwithinthetimespecifiedabove,Tenant
shallbeentitledtodeductfromtheRent,oranyinstallmentthereof,theper
diemrentalforeachdaythatsuchfailurecontinuesbeyondthespecified
time.TherightsofTenantsetouthereinshallbecumulative,andthe exerciseofanyrightshallnotexcludetheexerciseofanyotherright.
InthecaseofanyrepetitivefailureofLandlordtocomplywithitsobligations
tomaintainanydeviceorsystem,TenantshalladviseLandlordofany
subsequentproblemwithrespecttosuchdeviceorsystem,inwriting,but
shallnotberequiredtowaitanyadditionalperiodoftimebeforeexercising
itsrightsunderthisprovision.
Notwithstandingtheforegoing,ifanyeventoccursthatcreatesan
unreasonableriskofinjurytopersonorproperty,Tenantisauthorizedto
maketemporaryrepairstoalleviatesuchrisk,atLandlord’sexpense.
(g)
SnowRemoval.AtLandlord’sexpense,butsubjecttotheprovisionsof
Section4(b),whenandassnowand/oriceremovalbecomenecessary,
Landlordshallpromptlyremoveallsnowandicefromallwalkways,loading
areasandparkingareas.
(h)
Access.TenantandOccupantsshallhaveaccesstotheBuilding24hoursa
day,365daysayear.
Page49of68
7.
DAMAGEORDESTRUCTIONOFTHEPREMISES.
(a)
Termination.IftheBuildingorthePremisesaredamagedbyfire,lightning,
windstorm,tornado,earthquake,civildisturbance,flood,actsofnatureor
othercasualtyloss,and,inthereasonableopinionofeitherparty,the Premises(andanyCommonAreasgenerallyusedbyTenant)arethereby
renderedsubstantiallyuntenantableorunusable,andcannotbereasonably
commerciallyrebuiltwithin____()daysfollowingthedateofcasualty,this
Leaseshallterminate,attheoptionofeitherparty,effectiveonthedateof
thecasualty,uponwrittennoticetotheotherparty,givenwithin______()
daysfollowingthecasualty.
(b)
ObligationtoRepairandRestore.IfneitherpartyterminatesthisLeaseas
providedin“(a)”above,Landlord,atitssoleexpenseandnotsubjectto
Section4(b),shallrepairandrestoretheBuildingandthePremisesas
promptlyaspossibletotheirformercondition,butinanyeventwithin____(
)daysfollowingthedateofcasualty.Thereshallbeaproportionate abatementofallRentandotherpaymentsotherwiseduetoLandlordunder
thetermsofthisLease,fortheperiodduringwhichthesaidrepairsand
restorationarebeingcompleted,forthatportionofthePremisesnot substantiallyusablebyTenantduringsuchperiod(aswellasareasonable
abatementwithrespecttoanyCommonAreasgenerallyusedbyTenantthat
arenotsubstantiallyusablebyTenantduringsuchperiod).Landlordshall
commencetomakeallrepairs,replacement,restoration,orrenovationas
requiredinthissubsectionandshallthereafterdiligentlypursuesuch
repairs,replacement,restorationorrenovationuntilcompleted.IfLandlord
shallfailtosubstantiallycompleteallworkwithinthetimeperiodherein
required,then,inadditiontoallotherlegalrightsofTenant,Tenantmay
chooseeitheroption(i)or(ii)below:
(i)
Tenant,ortheappropriateOccupantifauthorizedbyTenant,may
undertakewithitsownresourcestorepair,replace,restoreor
renovatethePremises(includinganyCommonAreasgenerallyused
byTenant)andmaydeductthereasonablecostsoftherepairs,
replacement,restoration,andrenovationfromtheRentorother
paymentsotherwiseduetoLandlordunderthetermsofthisLease,or
anyrenewalorextensionthereof,orTenantmaycollectallsuchcosts
fromLandlordinanymannerprovidedbylaw,ifLandlordhasnot
paidforsuchrepairswithinthirty(30)daysafterreceiptofbilling
thereforfromTenant;or
(ii)
TenantmayterminatethisLeasebygivingfifteen(15)businessdays
writtennoticetoLandlord.
(c)
InsufficientFunds.IfLandlordiswillingtorepairandrestorethePremises,
butisunabletodosoinamannerthatissubstantiallyequivalenttothe
qualityandconditionofthePremisespriortothecasualty,then,unless
LandlordandTenantshallagreeonanappropriatereductiontotheRentor
otherconcessions,TenantshallhavetherighttoterminatetheLeaseupon
Page50of68
8.
writtennoticetoLandlord.Uponthehappeningofacasualtyforwhich
Section7(b)applies,Landlordshall,uponrequestbyTenant,provideTenant
withacopyoftheas‐builtplansfortheBuildingandthepost‐casualty
constructionsplansandspecifications.
ALTERATIONS.
(a)
Tenant’sRighttoMakeAlterations.Tenant,atitssolecostandexpense,may
makealterationsandadditionstothePremisesasTenantdeemsproper.
Tenant,however,shallnotmakeanystructuralalterationsoftheroof,
foundationorexteriorwallswithoutthepriorwrittenconsentofLandlord,
unlessmadepursuantto§7(b)(i).Tenant,atitssolecostandexpense,may
installfixtures,partitionsandmakesuchotherimprovementsasTenantmay
deemproper.Thetitleandownershipofmaterialsusedinsuchalterations
andadditions,andallfixtures,partitions,andotherimprovementsmade
and/orinstalledbyTenantshallremaininTenant.Uponterminationofthis
Lease,Tenantmay,atitsoption,removethefixtures,partitionsandother
improvementsmadeunderthisSection,inwhicheventanydamagetothe
Premisescausedbyremoval,otherthannominaldamage(suchasscrew
holes,bracketmarks,etc.)shallberepairedbyTenantatitsexpense.If
Tenantelectsnottoremovetheimprovements,itshallhavenofurther
responsibilityforthemortheirremoval,andsuchimprovementsshall
thereafterbethepropertyofLandlord.
(b)
TurnkeyImprovements.InconsiderationfortheRent,Landlordagreesto
perform,andTenant’sobligationsunderthisLeaseareexpresslyconditioned
upon,Landlord’sperformanceandcompletionoftheconstruction, improvementsand/orotherrenovationworkasshownon[ExhibitA (ProposedSpacePlan)andExhibitC_(GuidelinesforInteriorImprovements)
attachedtothisLease,asmaybechangedbychangeordersignedby LandlordandTenant(the“TenantImprovements”).Inaddition,Landlord
shallperformandcompletetheconstruction,improvements,and/orother
work,andshallmakesuchotherrepair,replacementorrenovationasmaybe
necessarytobringtheBuildinguptothestandardssetoutinExhibitD
(“BaseBuildingImprovements”).ThePremisesandtheCommonAreasshall
meetanybuildingcodeorzoningrequirementsnecessarytopermitTenant
tousethePremisesforitspermitteduses.Asusedherein“Improvements”
shallmeantheTenantImprovementsandtheBaseBuildingImprovements.
Landlordshall,atLandlord’ssolecostandexpense,notsubjecttoSection
4(b),performandcompletetheImprovementsasprovidedinAttachmentA
(GeneralTermsandConditionsforAllWorktobePerformedbyLandlord).
ALTERNATE“b”:
(b)
TurnkeyImprovements.Theconstructiondrawingspreparedby________,
dated_____________,forallworktobeperformedbyLandlordhavebeen
agreedtobytheparties,andacopyhasbeenprovidedtoeachparty.Acopy
ofthecoverpageoftheconstructiondrawingsisattachedtothisLeaseas
ExhibitC‐1.InconsiderationfortheRent,Landlordagreestoperform,and
Page51of68
9.
Tenant’sobligationsunderthisLeaseareexpresslyconditionedupon,
Landlord’sperformanceandcompletionoftheconstruction,improvements
and/orotherrenovationworkasshownontheconstructiondrawings,as
maybechangedbychangeordersignedbyLandlordandTenant(the
“Improvements”).ThePremisesandtheCommonAreasshallmeetany
buildingcodeorzoningrequirementsnecessarytopermitTenanttousethe
Premisesforitspermitteduses.Landlordshall,atLandlord’ssolecostand
expense,notsubjecttoSection4(b),performandcompletethe
ImprovementsasprovidedinAttachmentA(GeneralTermsandConditions
forAllWorktobePerformedbyLandlord).
[Note:Thechoiceofwhich“b”tousewilldependonwhethertheconstruction
drawingsarecompleteatthetimetheleaseissigned.Itisimportantthat
the“b”selectedmustbeconsistentwiththeexhibitsattachedtothelease
andthelanguageinAttachmentA.]
(c)
Plans.Inaddition,Landlordshallpayforthespaceplanningand
programmingservices,andLandlordshallpayforallarchitecturaland
engineeringconstructiondocuments,includingMEPdrawings(ifrequired),
pertainingtotheworktobeperformedunderthisLease.
UTILITIESANDSERVICES;INSURANCE;TAXES.
(a)
UtilitiesandServices.Landlordshallprovide,atLandlord'sexpense,but
subjecttotheprovisionsofSection4(b),thefollowingutilitiesandservices
forthePremises:heatingandair‐conditioningasconditionsrequire, electricity,gas,waterandsewer,janitorialserviceandinteriortrash removal.Landlordshallalsoprovide,orpermitTenantora telecommunicationscompanytoinstall,telecommunicationsconnections
fromthepublicrightofwaythroughtheBuildingtothePremises.If LandlordorLandlord'sagentinterrupts,discontinuesorcausesthe interruptionordiscontinuationofanyutilitiesorservicesreasonably
necessaryforTenant’suseandenjoymentofthePremises,inwholeorin
part,thenTenant,inadditiontoanyotherremedyavailableunderthelaw,
shallbeentitledtodeductfromtheRent,orotherpaymentsotherwisedueto
LandlordunderthetermsofthisLeaseoranyrenewalorextensionthereof,
theperdiemRentforeachdaythatsuchinterruptionordiscontinuance
remainsineffect.IftheinterruptioniscausedbyLandlord’sfailuretopay
theprovideroftheutilityorservice,resultingintheterminationoftheutility
orservicesbysuchprovider,thenTenantmaypaydirectlytotheprovider
theamountnecessarytorestoretheutilityorservices,inwhicheventTenant
shallbeentitledtodeductfromtheRent,orotherpaymentsotherwisedueto
LandlordunderthetermsofthisLeaseoranyrenewalorextensionthereof,
theamountofsuchpaymenttotheprovider.
(b)
RealEstateTaxes.Landlordshallberesponsible,subjecttotheprovisionsof
Section4(b),forallrealestatetaxesorchargesinlieuoftaxesapplicableto
thePremises.
Page52of68
10.
11.
(c)
Insurance.Landlord,atLandlord'sexpense,butsubjecttotheprovisionsof
Section4(b),shallkeepthePremisesandtheBuildinginsuredagainst
damagebyfire,lightning,windstorm,tornado,earthquake,civildisturbance,
flood,actsofnatureandcasualtyloss,underabroadformextendedcoverage
orsimilarpropertylosspolicy.Thepolicyshallcoveratleasteightypercent
(80%)ofthereplacementcostofthePremisesandtheBuilding.Inaddition,
Landlordshallmaintainbroadformgeneralcommercialliabilityinsurance
sufficienttoensurereasonablefinancialresponsibilityintheeventofliability
forinjury,lossordamageatthePremisesandtheCommonAreas.
CONDITIONOFCOMMONAREAS.Landlord,atLandlord'ssoleexpense,subjectto
theprovisionsofSection4(b),shallmaintaininagood,cleanandsafecondition,all
CommonAreastobeusedbyTenantincommonwithothertenants.IfLandlord
failstomaintainsuchareasorsystemsinagood,cleanandsafecondition,orto
makeallrepairsand/orimprovementsafterwrittennotice,thenTenantmay
terminatethisLeaseorproceedtomakerepairsorimprovements,onthesame
termsasprovidedinSection6(f),exceptthatnopriornoticeshallberequiredto
makerepairsinanyeventinwhichtheconditioninneedofrepairormaintenance
createsanunreasonableriskofinjurytopersonorproperty.
ACCESSIBILITYBYPERSONSWITHDISABILITIES.
(a)
CompliancewithADA.Inadditiontoanyotherrequirementsorcovenantsin
thisLease,andatalltimesduringtheTerm,optionandanyrenewalterms,
Landlordcovenantsthat,astothePremisesandtheCommonAreas (includingtheparkingfacilitiesoftheBuilding),ithasfullycomplied,orwill
comply,tothefullestextentrequiredbylaw,with:
(i)
thefacilitiesaccessibilitylaws,regulationsandstandardsrequiredby
the"AmericansWithDisabilitiesActof1990",includingTitlesIIand
IIIthereof,andtheregulationsandstandardspromulgated
thereunder,includingtheregulationspromulgatedbytheU.S. DepartmentofJustice(28CFRChapter1,Part36andtheStandards
forAccessibleDesignPt.36,App.A‐entitled"ADAAccessibility
GuidelinesforBuildingsandFacilities"),asamended(the“ADA”),and
(ii)
theminimumrequirementsoftheVirginiaUniformStatewide BuildingCode(VUSBC),VolumeI‐NewConstruction,asamended,
pertainingtoaccessbythephysicallyhandicappedandagedpersons,
includingChapter11("Accessibility")ofsaidVUSBC,which,inpart,
incorporatestheregulationsandreferencedstandardsoftheU.S.
DepartmentofJusticeidentifiedabove.
Totheextentofanyconflictbetweentheforegoingrequirements,ineach
casethemorerestrictiveofthetwoshallcontrol.Landlordfurthercovenants
that,followingthedateofexecutionofthisLease,allalterationsofthe
PremisesandCommonAreas,includingparkingfacilities,shallbe
undertakenbyLandlordinsuchamannerthattheADAandtheregulations
andstandardspromulgatedthereunderandtheVUSBCarefullycomplied
Page53of68
12.
withtotheextentrequiredbylawandashereinprovided.
IfTenantshalldiscoverthatanelementofthePremises,ortheconstruction
ordesignofthePremisesortheotherfacilitiesareasnotedabove,or alterationsthereto,arenotincompliancewiththerequirementshereinset
forth,TenantshallpromptlynotifyLandlord(orLandlord'sagent)inwriting
detailingboththerequirementandthenoteddeficiencyandspecifyingthe
actionrequiredtobringaboutcompliance.
ShouldLandlordfailwithinthirty(30)calendardaysfollowingsuchnoticeto
complyortoproposeinwritinganalternativeforcompliancethatTenant
deemsacceptable,or,alternatively,failtoconvinceTenantthatcomplianceis
notrequired,eitherbecausesuchaccommodationaswouldotherwisebe
requiredwouldconstituteanunduehardshipwhenmeasuredagainstthe
financialresourcesofLandlordorbecausethefacilitiesarenevertheless
accessibleandusablebyindividualswithdisabilities,thenTenantmay
undertakewithitsownresourcestoaccomplishtheworkneededtoachieve
suchcomplianceandmaydeductthereasonablecostsofsuch accommodationfromtheRentorothersumsthenotherwisedueLandlord
underthetermsofthisLease,ormayterminatethisLeasebygivingthree
months’writtennoticetoLandlord.
(b)
Tenant’sTradeFixtures.TheforegoingprovisionsofthisSection,asapplied
toLandlord,shallnotapplytotradefixturesusedorinstalledbyTenantor
Tenant'slayoutofsuchtradefixtures.
DISCLOSURES;NON‐WAIVER;APPROPRIATIONS.
(a)
SovereignImmunity.LandlordunderstandsandacknowledgesthatTenant
andOccupant(s)areagenciesoftheCommonwealthofVirginiaandwith
respecttotortliabilityforactsoroccurrencesonoraboutthePremises,
includingproductliability,theCommonwealth,TenantandOccupant(s)are
either(i)constitutionallyimmune(orpartiallyimmune)fromsuit,judgment
orliability,(ii)insured,or(iii)coveredbyafinancialplanofrisk
managementthatisinthenatureofself‐insurance,allasdeterminedby
applicablelaws,governmentpoliciesandpractices.Noprovision,covenant
oragreementcontainedinthisLeaseshallbedeemedtobeawaiverofthe
sovereignimmunityoftheCommonwealthofVirginia,Tenantor
Occupant(s),fromtortorotherliability.
(b)
NoIndemnification.LandlordunderstandsandacknowledgesthatTenant
andOccupant(s)havenotagreedtoprovideanyindemnificationorsave
harmlessagreementsrunningtoLandlord.
(c)
ChoiceofLaw.ThisLeaseshallbegovernedby,andconstruedaccordingto,
thelawsoftheCommonwealthofVirginia.ThepartieschoosetheCityof
Richmond,Virginia,asthevenueforanyactioninstitutedpursuanttothe
termsofthisLease.
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13.
(d)
DissolutionorRestructuringofOccupant.Notwithstandinganyother
provisionofthisLease,ifanOccupantshallceasetoexist,andisnotreplaced
byasuccessorentitywithsimilarpowersandpurposes,oritspowersand
authorityarelimitedsoastonotpermitthecontinueduseofthePremises
foritsintendedpurposeanduse,thenTenantshallhavetherightto withdrawfromthisLeasesuchportionofthePremisesthenoccupiedby
suchOccupant(withacorrespondingreductionintheRent).Insuchevent,
Tenantwillendeavortogiveasmuchnoticeasisreasonablypossibleofthe
eventtriggeringthereductionandtheanticipateddatebywhichsuch
OccupantwillcompletelyvacatesuchportionofthePremises.Ifthe OccupantisthesoleOccupantofthePremises,thenuponsucheventthis
Leaseshallterminate.Nevertheless,ifTenant,initssolediscretion, determinesthatanotheragencyorinstitutionoftheCommonwealthhasa
needfortheportionofthePremisesusedbysuchOccupant,Tenantmay
designatesuchotheragencyorinstitutiontousethatportionofthe Premises.
(e)
Non‐Appropriation.AgenciesoftheCommonwealthofVirginiacannot
expendfundsunlessappropriatedbytheVirginiaGeneralAssemblyandmay
notobligateafuturesessionoftheVirginiaGeneralAssembly.Itisfurther
understoodthattheRentpaidbyTenantisderivedfromappropriations(or
federalfunding)madetotheindividualOccupantsandpaidovertoTenant.
Therefore,notwithstandinganyprovisioninthisLeasetothecontrary,ifany
sessionoftheVirginiaGeneralAssemblyfailstoappropriatefundsforthe
continuanceofthisLeaseforallOccupants(orfederalfundingforthe
continuationofthisLeaseisnolongeravailable),thisLeaseandall obligationshereundershallautomaticallyterminateupondepletionofthe
thencurrentlyappropriatedorallocatedfunds;provided,however,thatif
thereismorethanoneOccupant,andnotallOccupantshavelostfundingas
aforesaid,thenTenantshallhavetherighttodeletethespaceoccupiedby
suchOccupantfromthePremisesandreducetheRentaccordingly(subject
toTenantpayingthecostofconstructinganewdemisingwall,ifrequired,
andfurthersubjecttothespacedeletedfromthePremisesbeingreasonably
commerciallyleasable,eitherbyitselforaspartofadjacentavailablespace).
Nevertheless,ifTenant,initssolediscretion,determinesthatanotheragency
orinstitutionoftheCommonwealthhasaneedfortheportionofthe PremisesusedbysuchOccupant,Tenantmaydesignatesuchotheragencyor
institutiontousethatportionofthePremises.
REPORTOFOCCUPANCY.
(a)
FormofReportofOccupancy.Tenantshall,withinfifteen(15)daysafter
receiptofawrittenrequestbyLandlord,submittoLandlord,oritsdesignee,
awrittenReportofOccupancyspecifying:(i)thedateofpossessionofthe
PremisesbyTenantandthedateonwhichtheLeaseterminates,(ii)whether
thisLeaseisinfullforceandeffect,(iii)theannualRent,(iv)whetherthere
havebeenanymodificationstotheLease,andiftherehavebeen,a descriptionofallsuchmodifications,and,(v)whetherTenanthasknowledge
ofanydefaulthereunderonthepartofLandlord,orifitdoeshavesuch
Page55of68
14.
15.
16.
17.
knowledge,adescriptionofanysuchdefault.
(b)
EffectofReportofOccupancy.Theissuanceofareportrequestedunder
subsection13(a),oranyerrorsoromissionsinsuchreport:(i)shallnot
operateasanestoppelagainsteithertheCommonwealthofVirginiaor
Tenant,(ii)shallnotformorprovideanybasisforliabilityagainstthe
CommonwealthorTenant,and(iii)shallnotoperateasawaiverofanyrights
ordefensesthatmaybeavailabletotheCommonwealthorTenanteitherat
thattimeorinthefuture.
CONDEMNATION.
(a)
Notice.LandlordshallgivepromptnoticetoTenantofanydiscussions,
offers,negotiationsorproceedingswithanypartyregardingcondemnation
ortakingofanyportionofthePremises.
(b)
RightsofParties.IfanyportionofthePremisesoranyportionofthe Buildingortheparkinglotistakenbyeminentdomainorsoldtotheholder
ofsuchpowerpursuanttoathreatenedtaking(exclusiveoftakingsthat,in
thereasonablediscretionofTenant,donotmateriallyadverselyaffectthe
useandenjoymentofthePremisesbyTenant),thisLeaseshallterminate
effectiveasofthedateofthetaking.Thedateoftakingshallbetheearlierof:
(i)thedateonwhichtitlevestsinthecondemningentityor(ii)thedateon
whichthecondemningentitytakespossession.Intheeventofataking,
TenantassignstoLandlordanyrightsthatTenantmayhaveinandtoany
portionofacondemnationaward,butsuchanassignmentshallexcludeany
portionthatmaybeduefor,orattributedto,Tenant'sfixtures,moving
expensesandallowances.Ifthetakingdoesnotmateriallyadverselyaffect
theuseandenjoymentofthePremisesbyTenant,sothatthisLeaseisnot
terminated,RentshallbeequitablyadjustedtocompensateTenantforany
adverseeffectofthetaking.
SUBORDINATION,NON‐DISTURBANCE,ANDATTORNMENT.Uponrequestby
Landlord,TenantagreestoexecuteaSubordination,Non‐Disturbanceand
AttornmentAgreementthatsubstantiallyconformstoExhibitF,attachedhereto.
AnymodificationthereofshallbesubjecttoapprovalbyTenantandtheOfficeofthe
AttorneyGeneralofVirginia.
SIGNAGE.Landlord,atitsexpense,shallprovidebuildingstandardsignagelisting
eachOccupantintheBuildingontheBuildingdirectoryandattheentrancetoeach
Occupant’ssuite.IfthereisaBuildingpylonthatincludesthenamesofanytenants
intheBuilding,thenintheeventthat(atanytimethatthisLeaseisineffect)thereis
spaceavailable,Tenantshallhavetherighttoincludethereonthenamesofanyof
theOccupants,providedthatTenantshallpaytheinstallationcostthereof.
OPTION,TERMINATION,RENEWAL,ANDHOLDOVER.
(a)
Options.Tenantshallhavetwo(2)optionsoffive(5)yearseachtoextend
thetermofthisLease(“FirstOptionTerm”and“SecondOptionTerm”)upon
Page56of68
18.
providingaminimumofsix(6)months’writtennoticetoLandlordpriorto
theexpirationoftheInitialTermorFirstOptionTermasmaybeapplicable.
BaseRentduringtheFirstOptionTermshallbe$_________peryear.Base
RentduringtheSecondOptionTermshallbe$_________peryear.
(b)
Termination.Unlessotherwiseterminatedherein,Tenantmayelectto
terminatethisLeaseandvacatethePremisesattheendoftheInitialTermor
anyOptionTermuponprovidingaminimumofsix(6)months’written
noticetoLandlordpriortotheexpirationoftheInitialTermorsuch OptionTermasmaybeapplicable,oratanytimeduringanyRenewal
Term(asdefinedbelow)uponprovidingaminimumofsix(6)months’
priorwrittennoticetoLandlord.
Unlessotherwiseterminatedherein,Landlordmayelecttoterminatethis
LeaseupontheexpirationoftheSecondOptionTermorupontheexpiration
ofanyRenewalTermbyprovidingaminimumofsix(6)months’prior
writtennoticetoTenant.LandlordmayalsoelecttoterminatethisLease
upontheexpirationoftheInitialTermortheFirstOptionTerm,ifTenant
doesnotexerciseitsoptionrightsatsuchtimes,byprovidingaminimumof
six(6)months’priorwrittennoticetoTenant.
(c)
Renewal.ThisLeaseshallautomaticallyrenewandcontinuefromyearto
year(“RenewalTerm”)onthesametermsandconditionsasexisted immediatelypriortothecommencementoftheRenewalTerm,includingany
provisionrelatingtoescalationinBaseRent,ifneitherpartyhasgivena
timelynoticeofterminationasprovidedin(b)above.
(d)
Holdover.IfTenantcontinuestooccupythePremisesafterthetermination
datespecifiedinapropernoticetoterminateasprovidedin(b)above
(“Holdover”),suchHoldovershallbedeemedatenancyfrommonth‐to‐
monthuponthesametermsandconditions,includinganyBaseRent escalation,asexistedimmediatelypriortothecommencementofthe Holdover.Eitherpartymayterminatesuchholdoveruponprovidinga
minimumoffour(4)months’priorwrittennoticetotheotherparty.
(e)
ConditionofPremises.AttheterminationofthisLease,Tenantshall peaceablydeliverthePremisesinthesameconditionasoriginallyaccepted,
exceptfordamagebyaccidentorfire,reasonablewearandtear,andsubject
toanyprovisionshereintomakerepairsandrestoration.
(f)
PostingofNotice.Afternoticeofterminationhasbeenproperlygivenby
eitherparty,LandlordmayelecttopostanoticethatthePremisesare
availableforlease.LandlordmayshowthePremisestoprospectivetenants
onlyduringTenant’snormalbusinesshours,withpriornoticetoTenantand
insuchamannersoasnottodisturbTenant’soperations.
NOTICES.
(a)
ToTenant.Allnotices(exceptasprovidedin§17(f))toTenantrequiredor
Page57of68
19.
permittedunderthisLeaseshallbegiveninanymannersetoutinsubsection
(c)ofthisSection,toTenantaddressedto:
DivisionofRealEstateServices
Attn:Director
1111E.BroadSt.,2ndFloor
Richmond,VA23219
Withacopyto:
(b)
______________________________________ (OccupyingAgency)
______________________________________ (Address)
______________________________________ ToLandlord.AllnoticestoLandlordrequiredorpermittedunderthisLease
(otherthanoralnoticeswherepermittedunderthisLease)shallbegivenin
anymannersetoutinsubsection(c)ofthisSection,toLandlordaddressed
to:
______________________________________ (LandlordName
______________________________________ (LandlordAddress)
______________________________________ (c)
MannerofDelivery.WhereveranoticeisrequiredunderthisLease,notice
shallbedeemedtohavebeendulygivenifinwritingandeither:(i) personallyserved;(ii)deliveredbyprepaidnationallyrecognizedovernight
courierservice;or(iii)forwardedbyRegisteredorCertifiedmail,return
receiptrequested,postageprepaid.
(d)
DateofDelivery.Eachsuchnoticeshallbedeemedtohavebeengiventoor
serveduponthepartytowhichaddressedonthedatethesameisreceived
bythepartyordeliveryisrefused.
(e)
ChangeofAddress. EachpartytothisLeaseshallnotifytheotherpartyofa
newaddressatwhichtomailnotices,whichnoticeshallbegiveninthe
mannerprovidedabove,andunlessanduntilsuchnoticeofnewaddressis
given,noticestoapartyheretoshallbesufficientifmailedtosuchparty's
addressasspecifiedinthisSection.
(f)
AlternativeMethods.Wherenoticeissentbyanalternativemethod,the
noticeshallbeeffectiveifactuallyreceivedbytheparty,oritsappointed
agent,towhomthenoticeisaddressed.Nevertheless,noticetoanOccupant
shallnotconstitutenoticetoTenant(unlessexpresslydirectedbyTenant
pursuanttothisSection).
BINDINGEFFECT;AMENDMENTS.Thecovenants,agreements,andrights
containedinthisLeaseshallbindandinuretotherespectiveheirs,personal
representatives,successorsandassignsofLandlordandTenant.ThisLease
Page58of68
20.
21.
constitutestheentire,fullandcompleteunderstandingandagreementbetween
LandlordandTenant,andallrepresentations,statements,warranties,covenants,
promisesoragreementspreviouslymadeorgivenbyeitherpartytotheotherare
expresslymergedintothisLeaseandshallbenull,voidandwithoutlegaleffect.
ThisLeaseshallnotbeeffectiveorbindingunlessanduntilsignedbyallpartiesand
TenantobtainstherecommendationoftheVirginiaDepartmentofGeneralServices
andtheapprovaloftheGovernorofVirginia,orhisdesignee,asrequiredby§2.2‐
1149oftheCodeofVirginia(1950),asamended.Noamendmentormodificationof
anyofthetermsofthisLeaseshallbebindingonTenantunlessinwritingand
executedbyallpartiestothisLeasewiththesameformalityasthisLease.
DEFAULT.
(a)
PermittedTermination.TheterminationofthisLeasebyTenantpursuantto
theprovisionscontainedhereinshallnotbeadefaulthereunder.
(b)
Breach;Rights;NoAdditionalObligations.Ifeitherpartyshallbreachany
provisionofthisLease,thenon‐breachingpartyshallgivewrittennotice
thereoftothebreachingparty.Thebreachingpartyshallhavethirty(30)
days(whichshallbeextendedtotheextentreasonablynecessaryifacure
shallreasonablyrequiremorethanthirty(30)days,providedthebreaching
partypromptlycommencesthecureanddiligentlypursuescompletion
thereof)fromthereceiptofthenoticetocurethebreachand,ifnotsocured,
thenon‐breachingpartymay,atitsoption,exercisesuchrightsasmayexist
atlaworinequity,exceptthatLandlordshallnottakepossessionofthe
Premisesbyanyself‐helpremedy.Theprovisionsofthissubsectionshallnot
beconstruedasimposinganyadditionalobligationsonthenon‐breaching
partytotheextentthatthisLeasepermitsthenon‐breachingpartytotake
certainactionsasaresultofabreachbytheotherparty.
TELECOMMUNICATIONSEQUIPMENT.Subjecttoallapplicablefederal,stateand
locallaws,includingzoningordinances,andprovidedthatthesamedoesnot
interferewithanyexisting,similarequipmentmaintainedontheroofofthe
Building,TenantshallhavetherighttoplaceupontheroofoftheBuildingone
antennaand/oronestandard‐sizetelecommunicationdish(“SatelliteEquipment”)
asreasonablynecessaryfortheoperationsofeachOccupantintheBuilding.Any
relatedtelecommunicationsequipmentthatisnotrequiredtobelocatedontheroof
shallbeplacedwithinthePremises.Priortoanysuchinstallation,thespecifications
andlocationoftheSatelliteEquipmentshallbesubjecttoLandlord’sapproval.
LandlordmayestablishreasonablerulesrelatingtothepositioningofsuchSatellite
Equipmentontheroof,aswellasthemannerofinstallationthereofsoastonot
interferewiththestructuralintegrityoftheroofortherightsofotherBuilding
tenants.Tenantshallberesponsibletoassurethattheinstallation,maintenance,
operationandremovalofsuchSatelliteEquipment(a)complieswithalllaws,rules
andregulationsapplicabletheretoand(b)willnotinterferewithoradverselyaffect
theoperationofanyothertenant,includinganyelectricalormechanicalequipment
thereof,locatedwithintheBuilding,andTenantagreestorepairanydamagetothe
Buildingassociatedwiththeinstallation,maintenanceorremovaloftheSatellite
Equipment.ThereshallbenoadditionalLeasecostsassociatedwithsuchrooftop
Page59of68
rights.IntheeventthatanySatelliteEquipmentisnotremovedbyTenantwithin
ninety(90)daysaftertheexpirationofthisLease,thenLandlord,atLandlord’s
option,shall(a)becometherightfulownerofsuchSatelliteEquipment,andTenant
shallexecutenecessarydocumentationtoevidencetheconveyanceofsuchSatellite
EquipmenttoLandlord,or(b)LandlordshallbeentitledtoremovesuchSatellite
EquipmentatTenant’ssolecostandexpense.TotheextentanyOccupantshallhave
aneedforSatelliteEquipment,LandlordwillmakeavailabletoTenantaconduit
fromtheportionofthePremisesoccupiedbysuchOccupanttotherooftoinstall
wiringandrelatedequipmentnecessarytoconnectsuchSatelliteEquipmentonthe
roofwiththeoccupiedspace.Ifsuchconduitdoesnotexist,thecostofinstallation
shallbereimbursedbyTenantpromptlyuponsubmissionbyLandlordofaninvoice
therefore,unlessincludedaspartoftheworktobeperformedbyLandlord
pursuanttoSection8(b).
22. PRESUMPTIONS.Nopresumptionshallbecreatedinfavoroforagainstanyofthe
partiestothisLeasewithrespecttotheinterpretationofanytermorprovisionof
thisLeaseduetothefactthatthisLease,oranyparthereof,waspreparedbyoron
behalfofoneofthepartieshereto,asmaybeevidencedbythedisclosureontheface
ofthisDeedofLeasemadepursuanttoVirginiaCode§17.1‐223.
23. ASSIGNMENT.TenantmaynotassignthisLease,orsubletthePremises,without
thewrittenconsentofLandlord,whichconsentshallnotbeunreasonablywithheld
ordelayed,exceptthatTenantmayassignthisLeasetoanyotheragencyofthe
CommonwealthofVirginiawithoutLandlord’sconsent,pursuanttothetermsof
Sections2and12.
24. HEADINGS.TheheadingofthesectionsofthisLeaseareinsertedforconvenience
onlyanddonotalteroramendtheprovisionsthatfollowsuchheadings.
25. ADDITIONALPROVISIONS.ThisLeaseissubjecttothefollowingterms,
conditions,modifications,additionsand/ordeletionsprovidedinthefollowing
designatedattachmentsandexhibits,whichareherebyincorporatedintothisDeed
ofLease:
Attachments:A.
GeneralTermsandConditionsforAllWorktobePerformedby
Landlord
Exhibits:
A.
ProposedSpacePlan
B.
ModelCertificateofCommencement
C.
GuidelinesforInteriorImprovements
D.
BaseBuildingSpecifications
E.
JanitorialSpecifications
F.
Subordination,Non‐DisturbanceandAttornmentAgreement
Note:IffinalplansandspecificationsarecompletedpriortotheexecutionofthisLease,then
thelistofExhibitswillbereplacedwiththefollowing:
Exhibits:
A
ProposedSpacePlan
B.
ModelCertificateofCommencement
Page60of68
C‐1.
C‐2.
D.
E.
F.
G.
CoverSheetforFinalPlansandSpecifications
GuidelinesforInteriorImprovements
BaseBuildingSpecifications
JanitorialSpecifications
Subordination,Non‐DisturbanceandAttornmentAgreement
ReportofOccupancy
Page61of68
INWITNESSWHEREOF,thepartiesheretohaveaffixedtheirsignaturesandseals.
LANDLORD:________________________________________________________[ALLCAPS]
aVirginiacorporation/limitedpartnership/limitedliability
company
By: _________________________________________________________
Title: _________________________________________________________
_________________________________
CITY/COUNTYOF_________________________,towit:
TheforegoingDeedofLeasewasacknowledgedbeforemethis________dayof
___________,20___by___________________________actinginhis/hercapacityas___________________of
____________________________________[insertnameofcorporation,partnershipetc.]onbehalfof
the[corporation,partnershipetc].
Mycommissionexpires:_________________________________________ RegistrationNo.__________________
_______________________________________________________
NotaryPublic
TENANT:
COMMONWEALTHOFVIRGINIA
VIRGINIALOTTERY
By: __________________________________________________________
Title: __________________________________________________________
COMMONWEALTHOFVIRGINIA
CITY/COUNTYOF__________________,towit:
TheforegoingDeedofLeasewasacknowledgedbeforemethis________dayof
___________,20___by_____________________________actinginhis/hercapacityas__________________of
theCommonwealthofVirginia,VirginiaLottery,onbehalfoftheagency.
Mycommissionexpires:__________________________________________ RegistrationNo.___________________
________________________________________________________
NotaryPublic
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RECOMMENDAPPROVAL:
DEPARTMENTOFGENERALSERVICES
By: ___________________________________________________
Director
APPROVEDBYTHEGOVERNOR:
Pursuantto§2.2‐1149oftheCodeofVirginia(1950),asamended,andastheofficial
designeeoftheGovernorofVirginia,asauthorizedanddesignatedbyExecutiveOrder88
(01)datedDecember21,2001,IherebyapprovetheacquisitionofthePremisespursuant
tothisDeedofLeaseforandonbehalfoftheGovernorofVirginia.
________________________________________________________________________________
SecretaryofAdministration
Date
Page63of68
ATTACHMENTA
GENERALTERMSANDCONDITIONSFORALLWORKTOBEPERFORMEDBYLANDLORD
ThisAttachmentshallapplytoallworktobeperformedbyLandlordforthebenefitof
TenantatthePremises,pursuanttoSection8(b)oftheLease.
(a)
Landlord,shall,atLandlord’ssolecostandexpense,performandcompletealltenant
improvementstothePremisesasspecifiedinExhibitAandExhibitCattachedtothe
Lease(the“TenantImprovements”),aswellasanyimprovementsrequiredtomeet
theBaseBuildingImprovements(ExhibitD),includingthepreparationofallfinal
plansandspecifications.AlloftheworktobeperformedbyLandlordpursuantto
theforegoing(includinganyadditionalworknecessarytomeetanybuildingcodeor
zoningrequirements)shallbereferredtohereinasthe“Work.”
IfconstructiondrawingsarerequiredduetotheamountorcomplexityoftheWork,
ortoobtainanyrequiredbuildingpermit,thentheyshallbepreparedbyan
architectengagedatLandlord’ssolecostandexpense.Priortothecommencement
ofconstruction,LandlordshallprovideasetoftheconstructiondrawingstoTenant
within_____(__)daysfollowingthefinalexecutionoftheLease,andTenantshall
thereafterhave______(__)daystoreviewtheconstructiondrawingsandtoadvise
Landlordofanydeficiencyintheconstructiondrawingsbasedontheprovisionsof
ExhibitsA,CandD.Landlordshallremediateanysuchdeficiency,butshallhaveno
obligationtoprovideanyupgradeoranyadditionalworkexceptpursuanttothe
changeorderprovisionsbelow.Nevertheless,itshallbetheobligationofLandlord
toperformtheworkspecifiedinExhibitsA,CandDinamannerthatcomplieswith
allrequirementsoftheapplicablebuildingcodeandanysuchworkshallbeatthe
soleexpenseofLandlord.TheacceptanceoftheconstructiondrawingsbyTenant
shallnotrelieveLandlordofitsobligationtocomplywithallapplicablebuilding
codes.IfLandlordandTenantareunabletoagreeontheconstructiondrawings
within______(__)daysfollowingtheexecutionoftheLease,thenTenantmay,upon
____(__)dayspriorwrittennotice,terminatetheLeasebywrittennoticetoLandlord;
providedthattheLeaseshallnotsoterminateifthepartiesshallagreeonthe
constructiondrawingswithintheaforesaidnoticeperiod.Neithertheacceptanceof
theconstructiondrawingsbyTenant,northefailureofTenanttoidentifyanyerrors
oromissionsintheconstructiondrawings,shallrelieveLandlordofitsobligationto
complywithallapplicablebuildingcodesor(absentanamendmenttotheLease
modifyingExhibitsA,CandDtobeconsistentwiththeconstructiondocumentsora
subsequentchangeorder)toperformtheworkspecifiedinExhibitsA,CandD.
(b) LandlordshallexecuteacontracttoperformtheWorkwithintwoweeksofthe
approvaloftheconstructiondrawingsbybothLandlordandTenant.IfLandlord
failstoexecutethecontractinatimelymanner,Tenantshallhavetherightto
terminatetheLeaseuponwrittennoticetoLandlord,providedthat(A)Tenantdid
notconsentinwritingtothedelayinexecutingthecontractand(B)thetermination
noticeissentpriortoLandlord’sexecutionanddeliveryofthecontract.
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ALTERNATE“a”and“(b)”(foruseifconstructiondrawingsarecompletepriortoexecution
oftheLease):
(a)
Landlord,shall,atLandlord’ssolecostandexpense,performandcompleteallofthe
improvementsasspecifiedintheconstructiondrawingspreparedby_________,dated
_______,acopyofwhichhasbeenprovidedtoandacceptedbyTenant.Allofthe
worktobeperformedbyLandlordpursuanttotheforegoing(includingany
additionalworknecessarytomeetanybuildingcodeorzoningrequirements)shall
bereferredtohereinasthe“Work.”Neithertheacceptanceoftheconstruction
drawingsbyTenant,northefailureofTenanttoidentifyanyerrorsoromissionsin
theconstructiondrawings,shallrelieveLandlordofitsobligationtocomplywithall
applicablebuildingcodesor(absentanamendmenttotheLeasemodifyingExhibits
A,CandDtobeconsistentwiththeconstructiondocumentsorasubsequentchange
order)toperformtheworkspecifiedinExhibitsA,CandD.
(b) LandlordshallexecuteacontracttoperformtheWorkwithintwoweeksof
executionoftheLease.IfLandlordfailstoexecutethecontractinatimelymanner,
TenantshallhavetherighttoterminatetheLeaseuponwrittennoticetoLandlord,
providedthat(A)Tenantdidnotconsentinwritingtothedelayinexecutingthe
contractand(B)theterminationnoticeissentpriortoLandlord’sexecutionand
deliveryofthecontract.
(c)
Uponexecutionoftheconstructioncontract,Landlordshalluseitsbesteffortsto
expeditiouslyandsubstantiallycompletetheconstructionoftheWorktoprepare
thePremisesforTenant’spossession,inaprofessionalandcompetentmannerusing
goodqualitymaterials.LandlordagreestoprovideTenantwithatleasttwenty‐
eight(28)daysadvancewrittennoticeoftheanticipatedsubstantialcompletionof
theWork.Fromthecommencementofthistwenty‐eight(28)dayperiodthrough
thedateTenanttakespossessionofthePremises,Tenantshallhavetherightto
enterthePremisesfortheinstallationoffurniture,fixtures,equipmentand
telecommunicationsconnections,aswellasmakinganyalterationsortenant
improvementsthatarenotbeingmadebyLandlord.Tenant’sagentswill
coordinatetheiractivitieswithLandlord’scontractorsoasnottointerferewiththe
workbeingperformedbyLandlord.TenantshallnotbeliableforpaymentofRent
priortoTenant’stakingpossessionofthePremises.
(d) UponthelaterofthesubstantialcompletionoftheWorkortheexpirationofthe
twenty‐eight(28)dayperiod,Tenantshall,withinthree(3)businessdays
thereafter,conductawalk‐throughinspectiontodetermineiftherearedeficiencies
intheWork.Thewalk‐throughinspectionmaybeconductedearlierifagreedby
bothLandlordandTenant.If,asofthewalk‐throughinspection,Tenantfinds:(A)
thatallWorkhasnotbeensatisfactorilycompleted,inthegoodfaithopinionof
Tenant,(B)thatanyoftheWorkhasnotbeenperformedinagoodand
workmanlikemannerorhasbeendonewithpoorqualityorusedmaterials,or(C)
thatallrequiredbuildinginspectionsorapprovalsapplicabletotheWorkhavenot
beenproperlyobtained,thenTenantmaydeterminethattheWorkisnot
substantiallycompleteandrefusetoacceptthePremisesatthattime.All
deficiencies(asdescribedabove)shallbespecifiedinwritingtoLandlord.Landlord
shallcorrectalldeficiencieswithinfourteen(14)daysofreceiptofTenant'snotice.
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(e)
(f)
TenantshallnotbeobligatedtoacceptthePremisesuntilthedeficienciesare
satisfactorilycorrected.Alternatively,withoutwaivinganyotherrightsunderthe
LeaseorthisAttachmentorTenant’sremediesunderlaw,Tenantmayacceptthe
PremisesandprovideLandlordwithawrittenpunchlistofminoritemsthatneed
correction,butwhichwillnotpreventTenanttakingpossessionofthePremises.
Landlordagreestocorrectallsuchpunchlistitemswithinfourteen(14)daysafter
receiptofthewrittenpunchlist.Ifthepunchlistitemsarenotcorrectedwithinsaid
fourteen(14)dayperiod,thenTenantmay,butisnotobligatedto,correctallpunch
listitemswithitsownresourcesanddeductthereasonablecostsofsuch
correctionsfromRentandanyotheramountsdueundertheLeaseand/orpursue
anyotherlegalremediesavailabletoit.AcceptanceofthePremisesshallnotbe
construedasTenant’swaiverof:(AA)anydefectorconditionnotreasonablyknown
toTenantpriortoitsoccupancyofthePremisesthatmayinterferewithTenant’s
useandenjoymentofthePremisesunlessLandlordhasgivenTenantactualwritten
noticethereof;or(BB)anyobligationofLandlordtomaintainandrepairthe
Premises.
TenantshalltakepossessionofthePremises,andRentshallcommencetoaccrue
(subjecttoanyabatementthereof),onthelaterof(A)thedatefirstsetoutinSection
3oftheLeaseor(B)thedatetheTenantacceptstheWorkinaccordancewith“(d)”
aboveor(C)iftheWorkincludestheinstallationofnewcarpetingorflooringor
constructionofatelecommunicationsroom,thenthefifteenthdayfollowing
completionofsuchinstallationorconstruction.Ifpossessionisestablished
pursuantto“(A)”aboveorisotherwiseonthefirstdayofamonth,thensuchday
shallbetheCommencementDate.Otherwise,theCommencementDateshallbethe
firstdayofthefirstmonthafterthedateofpossession.IftheCommencementDate
islaterthanthedatefirstsetoutinSection3oftheLease,theTerminationDate
shallbechangedsothatthelengthoftheInitialTermremainsunchanged.Ifthe
Rentcommencestoaccrueonadayotherthanthefirstdayofamonth,theRent
shallbeproratedfortheremainderofthatmonth,withpaymentforsuchprorated
periodduewiththefirstfullmonth’spaymentofRent.
Ifthedateofpossession(pursuantto“(e)”above)ismorethanthirty(30)daysafter
thedatefirstsetoutinSection3oftheLease,Tenantshallhaveonedayofrent
abatementforeachdayofdelaybeyondsuchthirty(30)dayperiod,excepttothe
extentthatdelaywascausedbyTenantDelay.[Selectasappropriate:Suchrent
abatementshallbeaddedtoandcommenceupontheexpirationoftherent
abatementsetoutinSection4(d)oftheLease.ORSuchrentabatementshall
commenceonthedaythatRentwouldotherwisecommencetoaccrue.]
Furthermore,ifLandlordfailstosubstantiallycompletetheWorkandtosoprepare
thePremisesforoccupancywithin______(__)daysofthedatefirstsetoutinSection
3oftheLease,excepttotheextentthatdelaywascausedbyTenantDelay,Tenant
shallhavetherighttoterminatethisLease,providedthatnoticeofterminationis
sentpriortosubstantialcompletionofthePremises.ForeachdayofTenantDelay,
itshallbepresumedthatpossessionoccurredonedayearlierthaninfactit
occurred(butinanyeventnotearlierthanthedatefirstspecifiedinSection3ofthe
Lease).TenantDelayshallmeananydelaycausedbyTenant’sinterferencewiththe
completionoftheWorkandanydelaycausedbyachangeorderrequestedby
Tenant.LandlordshallgiveTenantwrittennoticeofanyallegedTenantDelay
Page66of68
(g)
withinten(10)businessdaysofthehappeningofsuchevent.
ChangeOrders
(1)
UponTenant’swrittenrequestforanychangetotheWork,Landlordshall
notifyTenantoftheextentbywhichthesameshalldelayorshortenthetime
forsubstantialcompletionoftheWork,andTenantshalleither(A)withdraw
itsrequestforsuchchangeor(B)reaffirmitsrequestforsuchchange.
Tenant’saffirmationofsuchrequestshallbedeemedanacknowledgementof
theeffectonconstructiontime,withtheeffectthatthedatefirstspecifiedin
Section3oftheLeaseshallbemodifiedbyaddingthenumberofdays
specifiedbyLandlord.
(2)
InadditiontotherequirementsofSection(g)(1),uponTenant’swritten
requestforanychange,LandlordshallnotifyTenantoftheextentbywhich
thesameshallincreaseordecreasethecostoftheWork,andTenantshall
either(A)withdrawitsrequestforsuchchangeor(B)reaffirmitsrequestfor
suchchange.Tenant’saffirmationofsuchrequestshallbedeemedan acknowledgementoftheeffectthechangehasonthecostoftheWorkand
Tenant’sresponsibilityforsuchcost.[Selectasappropriate:Nevertheless,if
thepaymentofsuchamountisnotexpresslyauthorizedbytheLeaseoran
existingamendmentthereto,thenthechangeordershallbewithdrawn
unlessanewamendmentauthorizingthepaymentofsuchamountis approvedandexecutedbyallpartieswiththesameformalityastheLease.Or
Nevertheless,Tenantisauthorizedtopaynotmorethanatotalof$__________,
cumulativelyforallchangeordersrequestedbyTenant,andanychange
orderthatcausessuchamounttobeexceededshallnotbeperformedunless
anamendmentauthorizingthepaymentofsuchexcessamountisapproved
andexecutedbyallpartieswiththesameformalityastheLease.
(3)
Tenantshallberesponsibleforthecostofitsproposedchangeordersonlyto
theextentthattheneteffectofallsuchchangeordersincreasesthetotalcost
oftheWorkasevidencedbythecontractsenteredintobyLandlord,which
shallbeprovidedtoTenantifsorequested.
(4)
LandlordmayproposechangestotheWork,inwriting,subjecttothe approvalofTenant,whichmaybewithheldinitsreasonablediscretion.
Landlord’sproposalshallstatetheeffectthechangewillhaveonthedateof
completionoftheWork.NosuchchangeshallbedeemedaTenantDelay,
andanycostassociatedwithsuchchangeshallbebornebyLandlord.Ifany
suchchangeshallresultinacostdecrease,thentheamountofsuchdecrease
shallbeavailabletoTenanttoapplytoanychangeorderproposedby
Tenant,andTenantshallnotbeliabletoreimburseLandlordforsuch
amount.
(5)
LandlordshallprovidetoTenantdocumentationshowingtheeffectofall
changeordersonthecostofconstruction,andpaymentthereofbyLandlord
tothecontractor.AnyamountduefromTenanttoLandlordshallbedueand
payablewithinthirty(30)daysfollowingTenant’sacceptanceofthe Page67of68
Premises,subjecttoLandlordprovidingtoTenantdocumentationthat
Landlordhaspaidthecontractorinfull.
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