April 22, 1998
VA Directive 7815
d. Congressional Authorization for Prospectus Level Leases Prior to Funding.
Section 8104(a)(2) (as amended by section 301(a), Public Law 102-405)
Title 38
requires statutory authorization for all major medical facility leases (i.e., those that have
an annual rental in excess of
including those for parking facilities, prior to
the appropriation and obligation of funds.
e. Congressional Notification for Prospectus Level Leases Prior to Execution.
Public Law 102-389, Title V, Section 516, requires that the Secretary submit a written
report to the Committees on Appropriations of Congress prior to the use of appropriated
funds for any new lease of real property exceeding 0,000 in annual rent. A "new
lease of real property" is one that pertains to real property that VA has never before
leased, as well as succeeding or follow-up leases that replace leases that have expired
or will soon expire. Lease extensions, renewals, or other leasing actions provided for
within pm-negotiated options are not considered new leases within the meaning of
Public Law 102-389. Please be advised that the number of the applicable public law
changes from fiscal year to fiscal year but remains within Title V, Section 516.
f. Congressional Notification Prior to the Establishment of New Medical
Presence. VA is required to notify the Committees on Appropriations prior to the
establishment of any new medical presence, regardless of cost. Approval must be
received before execution of a lease.
Note: All questions concerning VA leasing of real property should be directed to Lease
Management Service (1848)