Office of Asset Enterprise Management — Enhanced Use Lease Consideration Report
The Department of Veterans Affairs (VA) publishes its enhanced-use lease (EUL) consideration report annually. The report describes VA’s stewardship of its underutilized real property assets, detailing the motivation and terms of each lease. The consideration report is a living document that provides a transparent view of the measurable outcomes of VA asset utilization through the EUL program. The report serves as a blueprint for effectively managing EULs to ensure a safe and appropriate environment for the delivery of cost-effective benefits to Veterans. The report also incorporates some soft, more difficult to quantify benefits — such as improved health-care outcomes and quality of life, customer service and satisfaction for Veterans, socioeconomic stimulus and benefits to local communities, and improved community relations.
Under the EUL authority (sections 8161–8169 of title 38 U.S.C.), VA may lease land and/or buildings to the public or private sector for up to 75 years. The leased property may be developed for non-VA and/or VA uses that are compatible with the mission of the Department. In return for the lease, the Department obtains fair value consideration in the form of revenue, facilities, space, and services. VA continuously explores ways to expand the use of this capital asset management tool, and ways to streamline the process.
EUL projects are divided into three major categories according to the type of benefits provided:
In this report, we attempt to quantify the consideration VA realizes from its EULs in terms of cash (revenue) and in-kind consideration (cost avoidance, cost savings, and enhanced services) to Veterans or VA employees, net of any new VA expense generated by the lease (excluding overall lease administration costs).