SA Repairs and Alterations

4537 - SA Repairs and Alterations (Rev. 1, 05-21-04) Charges may be made for repairs and alterations in privately-owned or publicly-owned space necessary to maintain proper facilities for efficient administration of the State survey unit. 4537A - Maintenance Repairs (Rev. 1, 05-21-04) Maintenance repairs such as painting, repairs to plaster, patching roofs and minor repairs to doors, elevators, electrical equipment, etc., may be included in the rate for service and maintenance. 4537B - Major Repairs and Replacements (Rev. 1, 05-21-04) Major repairs and replacements, such as structural changes in buildings, new roofs, new heating systems, etc., may be amortized over a period of years provided the total cost for space on an annual basis does not exceed lowest comparable rental, or in the case of public owned buildings, 75 percent of lowest comparable rental for privately-owned space. If the cost is amortized, the repairs and alterations must be of a permanent nature. Repairs and alterations that remain the property of the agency can usually be classified as moveable equipment. 4537C - Alterations (Rev. 1, 05-21-04) Normally, quarters completely adequate to the agency should be obtained from the lessor, and the cost of necessary alterations borne by the landlord. However, where the landlord is unwilling to bear the cost of necessary alterations, CMS funds can be authorized to meet the cost of alterations provided the proposed alterations are needed for better utilization of the space, and the improvements are not obligations of the lessor under the terms of the lease. In some situations, lessors will not agree to make necessary alterations but offer space at a relatively low rental rate. In such cases, the agency may be able to negotiate an arrangement under which the lessor would make necessary alterations and the agency would amortize the cost by an increase in rent for a stipulated length of time. Before agreeing to an arrangement providing for repair or alteration, an agency should first secure approval from the RO.