Rent Exemption Procedures

Purpose:

This Order provides procedures for handling requests for exemption from GSA Rent charges.

Background:

• 40 U.S.C. § 586(b) authorizes the Administrator of General Services (Administrator) to exempt anyone from charges for space and services (Rent) if the Administrator determines that such charges would be “infeasible or impractical.” 
• The Federal Management Regulation (FMR), 41 C.F.R. § 102-85.130, provides that requests for exemption from Rent must be made in writing to the Administrator and submitted in accordance with this Order.
• This Order provides specific procedures for processing Rent exemption requests.
• The Administrator has delegated the authority to grant Rent exemptions to the Commissioner, Public Buildings Service (PBS). 
• Since the statute does not specifically define “infeasible” or “impractical,” the Administrator or the Administrator’s designee has discretion to determine when an exemption request may be granted.
• Rent exemptions may be either for an exemption from full Rent or for a partial exemption from full Rent.  Unless expressly provided otherwise, the exemption is for one year and will start from the time the exemption is granted, and will be reviewed annually for renewal.

Applicability:

All entities seeking a Rent exemption must formally request an exemption in accordance with this Order.

Cancellation:

This Order supersedes and cancels GSA Order, “Rent Exemption Procedures” (PBS 7025.1A, October 21, 2004).

Roles and Responsibilities:

• The PBS Office of Portfolio Management and Customer Engagement (PTCE) receives and manages exemption requests.
• The GSA Office of the Chief Financial Officer partners with PTCE to prepare exemption requests for review.
• The PBS Commissioner is responsible for deciding exemption requests.