Redacted Justification 4NJ0294.pdf

41 U.S.C §3304 (a) (1): Only one responsible source and no other property or services will satisfy agency requirements. This one source is uniquely qualified as the space is immediately available and is already constructed to meet the agency’s requirements with no disruption or associated moving costs. The economic benefit to remaining in the space derives from the savings associated with relocation costs, disruption, and initial build out costs, which are not expected to be recovered through a Full and Open Competition.

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 renewal period. CBP and FWS have a mission related need to be located on the Port of Elizabeth and have an extensive buildout with several security features at the current location. Specifically, 1210 Corbin Street houses the Tactical Operations Division of the U.S. Customs & Border Protection. This Division is tasked with the interdiction of terrorist and terrorist weapons, narcotics, radioactive material, and other contraband. To accomplish this mission, officers are stationed at, and respond to, the marine terminals, Newark Liberty International Airport, and the Centralized Examination Stations. FWS also requires immediate access to the Port of Elizabeth for the inspection and investigation of exports and imports.

The need to be at this specific location is a mission need, and there are no other buildings located at or near the Sea Ports of Entry that can meet the agencies’ needs. There are no comparable buildings within the market, therefore using a traditional office rent rate for the surrounding area would inadvertently create the appearance that the proposed rent is higher than the market.

However, due to the uniqueness of this space being located at the Sea Port of Entry and the unique mission of the clients at this location, a cost benefit analysis was not developed to support this renewal.

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, an advertisement was posted on SAM.gov on 8/28/2024 until 9/6/2024 to identify any potential sites that could possibly meet CBP and FWS’s needs. The advertisement yielded no viable expressions of interest from the public.

6. DEMONSTRATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED

COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE:

On 4/30/2024, a Bullseye report for Elizabeth, NJ revealed a fully serviced target rate of $22.96 per RSF, however this rate does not account for the 384 surface parking requirement, the 24/7 operation, the unique nature of leases with the Port Authority, and servicing port of entries. To create a more accurate comparison, market research was conducted on 6/28/2024 for existing GSA leases with the Port Authority and/or located at airports or ports of entry leased locations in New York and Northern New Jersey. This resulted in a rental rate range from $45.02 per RSF to $166.09 per RSF, with an average rate of $105.84 per RSF which is used in the cost benefit analysis. The anticipated renewal rental rate of per RSF is below the average rental rate and is therefore considered fair and reasonable by the Lease Contracting Officer.

Other factors that contribute to the uniqueness of this lease are that the current location is uniquely located on the Sea Port of entry into the United States. Both CBP and FWS service both the Port of Elizabeth and Newark International Airport as part of their mission and cannot be relocated from the Port. In addition to the proximity to the ports, the proposed rate also contemplates a 24/7 operation of the space to ensure a seamless operation for CBP and FWS.

This anticipated rate is deemed fair and reasonable by the GSA Lease Contracting Officer due mainly to the unique and mission critical nature of this location, but also because of the lack of sufficient competition or other market options for space, the mission-related need for CBP and FWS to be located on the Port of Elizabeth, the high costs associated with working with the Port Authority, the extensive and lengthy Port Authority board review processes, and the complex tri-party negotiations with the Net Lessor building management company.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS:

The need to be at this specific location is a mission need, and there are no other buildings located at or near the Sea Ports of Entry that can meet the agencies’ needs.

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

COMPETITION:

Remaining at the current location under a 60 month renewal avoids a holdover and allows the Government to continue operations and their mission 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:

The long term requirements for these agencies is expected to be procured via a succeeding lease at this location. The CBP and FWS have a mission related need to be at the Port of Elizabeth, and there are no other buildings that can satisfy this need. The planned succeeding lease has a Justification for Other than Full and Open Competition that was finalized and executed per GSAM protocols on 8/23/2017.

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 renewal for 92,553 RSF is in the Government’s

(b) (4) best interest and that this Justification is accurate and complete to the best of the GSA Lease Contracting Officer’s knowledge and belief.

Certified By:

Alanna Fitzpatrick Date Lease Contracting Officer (2PRC) and Branch Chief

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.

Prepared by:

Bena Parker Date Lease Contracting Officer (2PRC)

Concurred by:

Raffaela Battiloro Date Lease Acquisition Officer (2PR)

Jeannette Rios Date Leasing Director and One Level Above LCO (2PR)

Reviewed by:

Leigh Erin S. Izzo Date Senior Assistant Regional Counsel (2L)

Approved by:

(b) (4)

Warren F. Hall Date Competition Advocate (2L)

Approved by:

Michael Gelber Date Regional Commissioner (2P)