The Oregon Department of Transportation announced it will lease space in its Salem headquarters to the Oregon Parks and Recreation Department beginning this fall, allowing the parks agency to relocate while saving both agencies money.
ODOT will lease space on the first floor of its Capitol Mall building in a 10-year arrangement expected to generate approximately $675,000 in income for ODOT per two-year budget cycle. OPRD will save about $250,000 annually and move its Salem headquarters to a more modern facility.
"This move is a win for both agencies," said Chris Warner, ODOT's Interim Director. "We're looking everywhere we can to be more efficient and cut costs as transportation agencies across Oregon face flattening gas tax revenues and rising costs."
The lease is part of a broader consolidation effort by ODOT. Over the past six years, the agency has eliminated nine of its 16 office leases, reducing leased space by 222,000 square feet. ODOT has also leased state-owned space totaling more than 19,000 square feet to five other state agencies. In total, ODOT has reduced its office space by approximately 242,000 square feet, or roughly 20 percent.
OPRD will begin moving into the building in September, with the lease officially starting November 1.