3LA0246-RedactedJOTFOC_Redacted (2).pdf

Justification for Other Than Full and Open Competition, Extension

U.S. General Services Administration

GSA Region 7 Leasing

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 3LA0246

Agency Name:

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

The General Services Administration currently leases ABOA/ rentable square feet (RSF) of office space at under lease number GS-07P-LLA16271 for the The current lease expires 12/31/2025. Approval is requested to negotiate a lease extension with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The right to pursue a lease extension is detailed in GSAR 570.405: Lease extensions.

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

(INCLUDING ESTIMATED VALUE).

The government requires an extension of the current lease for 60 months to commence on 1/1/2026. The estimated cost of this lease is per rentable square feet per year for an annual cost of and a total contract value of . It is the government�s intention to negotiate below the p/RSF rate, however, for the purposes of this Justification, we are using the rate included in the underlying Prospectus.

Prospectus Number PLA-01-ME23 was submitted to the Office of Management and Budget (OMB) on 12/20/2022, was approved by the House Committee on Transportation and Infrastructure on 2/28/2023, and the Senate Committee on Environment and Public Works is pending approval. The prospectus provides approval of up to 5 years and up to RSF with a rent rate of /RSF. In addition to this project, the prospectus also includes the square footage for the extension of nearby BSEE lease (LLA17159). While the approved rent rate is RSF, we anticipate negotiating the rental rate below the approved prospectus rent rate.

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 570.405. In accordance with GSAR 570.405:

(c) FAR 6.302-1 permits contracting without providing for full and open competition when the property or services needed by the agency are available from only one responsible source and no other type of property or services will satisfy the needs of the agency. This authority may apply to lease extensions in situations such as, but not limited to, the following:

and a total contract value of . It is the government�s intention t

(1) The agency occupying the leased space is scheduled to move into other Federally controlled space, but encounters unexpected delays in preparing the new space for occupancy.

(2) The Government encounters unexpected delays outside of its control in acquiring replacement space.

(3) The Government is consolidating various agencies and the contracting officer needs to extend the terms of some leases to establish a common expiration date.

(4) The agency occupying the space has encountered delays in planning for a potential relocation to other federally controlled space due to documented organizational, financial, or other uncertainties.

Here, the lease extension is appropriate because the agency occupying the space has encountered delays in planning for a potential relocation to other federally controlled space due to documented organizational, financial, or other uncertainties.

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

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

It is in the best interest of the Government to remain at the current location during the extension period.

is currently undergoing a post pandemic study taking into consideration possible future consolidation with GSA lease LLA17159 and additional future space needs. Award to other than the current Lessor would require relocation of the entire requirement and would cause the to incur move and replication costs that would not be recovered through competition.

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

MANY POTENTIAL SOURCES AS IS PRACTICABLE.

In accordance with GSAM 570.106(d) and 570.405, an advertisement is not required for extensions.

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

THE GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market research conducted by the GSA Leasing Specialist in the Metairie /Jefferson/Kenner sub-market of New Orleans, Louisiana showed the rental rate within the market area ranges from per RSF.

Therefore, the anticipated rental rates for this lease extension of per RSF, are within the current market range for this submarket and are deemed fair and reasonable by the GSA Lease Contracting Officer. Although the rate of is above the identified market range, the prospectus grants GSA the authority to award up to this amount per rentable square foot. As such, for purposes of this justification, we are utilizing the per RSF rate included in the prospectus. However, it is the GSA project team�s intention to negotiate a rate within the identified market range.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

On 3/7/2023, market research was conducted using a combination of the national office of Leasing�s� bullseye report which incorporates REIS and CoStar data alongside open source information such as Loopnet. The market research showed the rental rate within the market area ranges from to per RSF.

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

Remaining at the current location under a 60 month extension avoids a holdover and allows the Government to continue operations without disruption.

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

ACQUISITION.

N/A

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

ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION.

In advance of an existing lease contract�s expiration, considerations will be given to allow for sufficient time to conduct a full and open procurement. The Government will consider the time and cost of moving from the existing location, and the time and cost to build out new space when deciding whether it is economically advantageous to stay at the existing building or to undergo a competitive action.

Additionally, consideration will be given to the customer agency�s mission and security requirements (if applicable) to include limiting any agency space requirements that may be deemed unduly restrictive and thus favor the incumbent. The Government will remain conscious of the effort to continuously encourage competition when practicable.

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 lease extension of 60 months for GS-07P-LLA16271 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_____________________

, 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.

Concurred By:

___________________________________________________ Date______________________ Leasing Specialist / Project Manager

Concurred By:

___________________________________________________ Date______________________ , Leasing Director

Concurred By:

___________________________________________________ Date______________________ Legal Counsel

Concurred By:

___________________________________________________ Date______________________ Competition Advocate

Approved By:

___________________________________________________ Date______________________ Head of Contracting Authority / Regional Commissioner