2TX1263_2_Justification_for_Other_Than_Full_and_Open_Competition_(JOFOC)_Redacted.pdf

Revised 10-23-2023

U.S. General Services Administration

GSA Region 7

Leasing Division (7PR)

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 2TX1263

Agency Name: Office of U.S. Attorneys, Federal Public Defender, U.S. Marshals Service, Probation, District Courts of the United States (The Agencies)

1. NATURE AND/OR DESCRIPTION OF ACTION BEING APPROVED.

The General Services Administration currently leases 31,305 ABOA/36,001 rentable square feet (RSF) of office space at 410 S Cedar Street, Pecos, TX, under lease number GS-07P-LTX14146 for The Agencies. The current lease expires 11/19/2025. Approval is requested to negotiate a succeeding lease with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The procedures for pursuing a succeeding lease are detailed in GSAR 570.402: Succeeding Leases.

2. DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS

(INCLUDING ESTIMATED VALUE).

The Agencies submitted a continuing need letter on 3/23/2023 for approximately 34,201 rentable square feet of office and related space. The downsize in space requirements is being driven by the U.S. Trustees no longer having a requirement for space in Pecos, TX.

This requirement is for between 29,740 and 30,240 ABOA SF, approximately 34,201 RSF of space for a 17-year total; 15-year firm term to commence on 11/20/2025. The estimated cost of this lease is per rentable square feet per year for an annual cost of and a total contract value of

. The delineated area is as follows:

North: East 3rd Street East: Magnolia Street, E 5th Street, Martinez Street South: E 14th Street West: W Walthall Street, S Eddy Street

There is no vacant Federal Space available.

3. IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION.

41 U.S.C. 3304(a)(1): Only one responsible source and no other supplies or services will satisfy agency requirements. This statutory authority is implemented through GSAR 570.402. In accordance with GSAR 570.402-4, use of the sole source authority is appropriate when the contracting officer does not identify any potential acceptable locations through the advertisement or the market survey.

4. DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR

NATURE OF THE ACQUISITION REQUIRES THE USE OF THE AUTHORITY CITED.

Per the requirements of GSAR 570.402-4, no potentially acceptable locations were identified through the Presolicitation Notice posted to SAM.gov from 11/20/2024 to 12/9/2024. In instances where the Contracting Officer does not identify any potential acceptable locations, GSA may conduct a sole source procurement and negotiate directly with the present Lessor.

5. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED FROM AS

MANY POTENTIAL SOURCES AS IS PRACTICABLE.

Per the requirements of GSAR 570.402-2, the GSA Lease Contracting Officer placed a Presolicitation Notice on the Contracting Opportunities domain of SAM.gov on 11/20/2024, for 19 days. In addition, Public Properties, GSA’s Broker Contractor, conducted market research using the CoStar database and outreach to both local and national brokers.

6. DEMONSTRATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST TO THE

GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market surveys conducted by Public Properties in Pecos, TX showed the rental rate within the delineated area ranges from RSF. Sources for market rental rates include the CoStar database and communications with local brokers.

Therefore, the proposed rental rates for this succeeding lease of per RSF is below the market range for this submarket and are deemed fair and reasonable by the GSA Lease Contracting Officer. The informational quote from the incumbent was provided via email on 12/3/2024.

Note: The information quote provided by the incumbent does not include the costs of any shell improvements, which may be required as part of a new long-term Lease.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

GSAR 570.402-4 allows for negotiation with the incumbent Lessor when the contracting officer does not identify any potential acceptable locations through the Presolicitation Notice or the market survey.

On 8/22/2024, Public Properties conducted market research using the CoStar database and communication with local brokers and identified one (1) potentially acceptable location (the incumbent location) that might meet the agency’s needs within the delineated area.

See Figure 1 below for the results of the market research and SAM.gov advertisement, including the incumbent.

Address Source [EOI/CoStar, etc.] Asking Full Service Rental Rate

410 S Cedar Street EOI

Figure 1: Market Research Comparables

8. OTHER FACTS SUPPORTING USE OF OTHER THAN FULL AND OPEN COMPETITION.

None.

9. LIST OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST IN THE

ACQUISITION.

410 S Cedar Street - Incumbent

10. STATEMENT OF ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME

ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION.

There are no systemic barriers to competition. If the agency has a continuing need for space upon lease expiration, GSA will follow all authorities, regulations and policies applicable to lease acquisition. Should there be remaining useful life in the Government’s tenant improvements, the Government will consider the cost of moving from the existing location, and the cost to build out new space when deciding whether to undergo a competitive action.

Additionally, objective scrutiny will be given to the customer agency’s mission and security requirements (if applicable) to eliminate unnecessary agency space requirements that may be deemed unduly restrictive.

Prepared by

___________________________________________________ Date______________________ Edward “Teddy” Seifert, GLS Broker

Marshall Krumm, Leasing Specialist

11. CONTRACTING OFFICER CERTIFICATION.

By signature on this Justification for Other than Full and Open Competition, the GSA Lease Contracting Officer certifies that the award of a succeeding lease of approximately 34,201 RSF is in the Government’s best interest and that this Justification is accurate and complete to the best of the GSA Lease Contracting Officer’s knowledge and belief.

__________________________________________________ Date_____________________ Jeff Navarro, Lease Contracting Officer

12. PREPARER’S TECHNICAL CERTIFICATION.

I certify that the supporting data used to form the basis of this Justification is complete and accurate to the best of my knowledge and belief.

Joel Torres, Project Manager

13. REVIEW, CONCURRENCE, AND APPROVAL

Reviewed by:

Angel Leal, 7L Legal Counsel

Concurred by:

Jan Trevino, Leasing Director

Concurred by:

Charlie Hart, Competition Advocate

Approved by:

Giancarlo Brizzi, HCA (Regional Commissioner)