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U. GUIDING PRINCIPLES: 



The Cooperators shall use the following principles as a guide in implementing the 

 recommended reforms: 



1. Where permitted by law, fees for all concession instruments should be based on fair 

 martcet value. 



2. Using a market-based approach, establish a baseline fee for advertisements, requests for 

 proposals, and negotiations. 



3. Where permined by law, recoup administrative costs for all concession ir^struments. 



4. Where permitted by law, charge a fee based on fair market value for concession 

 instruments with State and local governments that have a subordinate instrument with third 

 parties. 



5. Where permitted by law, each agency should limit the length of new concession 

 agreements to the shortest practical period, unless a longer tenn is determined to be in the 

 public interest 



6. Require agency review and approval for transfers of ownership or control of the 

 concession operation. All cofKcssion instruments should pro\ide that when such transfer 

 occur, the terms of the authorization are subject to renegotiation. 



7. AgeiKies having competitive cor)cession opportunities, including teofferings, should 

 advertise widely in appropriate media 



8. Unless required by law, agencies should not grant preferential rights of renewal in 

 concession instruments. 



9. Unless required by law, agencies should not giBnt a possessory interest in inprovements 

 covered by concession instruments. 



10. Where permitted by law, compensation for a possessory iiflerest in improvements covered 

 by a concession instrument should be based iqxxi book value. 



The guiding principles are not to be considered binding agenc> policy until such time as 

 adopted by the agencies, pursuant to any necessary procedures under the Administrative 

 Procedure Act 



