4RI0073_Justification_for_Other_Than_Full_and_Open_Competition_Redacted.pdf

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Justification for Other Than Full and Open Competition for Leased Space in Providence, RI
Solicitation number
4RI0073
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This is a Justification for Other Than Full and Open Competition document for a lease renewal in Providence, Rhode Island. The General Services Administration (GSA) seeks to negotiate a superseding lease for 21,489 ABOA/24,770 rentable square feet of office space at 380 Westminster St for multiple federal agencies, including US Marshals Service, Bankruptcy Court, DOT Federal Highway Administration, and Social Security Administration. The lease will be for a 10-year term commencing on December 31st, 2024, with an estimated cost redacted in the document. The justification is based on 41 U.S.C. 3304(a)(1), arguing that relocating would incur substantial unnecessary costs and that no other viable alternative exists. Market research conducted on October 10th, 2024, identified six potential locations, but no other expressions of interest were received beyond the incumbent, supporting the sole-source procurement approach.

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Justification for Other Than Full and Open Competition, Superseding Lease

U.S. General Services Administration

GSA Region 1

Leasing Division – 1PRL

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 4RI0073

Agency Name: 1525 - JD US MARSHALS SRV

1014 - BANK JUD CTRMS/CHMBR

1016 - BNKRPTCY CLERK

6907 - DOT FED HWY ADM

2804 - SSA

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

The General Services Administration currently leases 23,418 ABOA/26,994 rentable square feet (RSF) of office space at 380 Westminster St, 02903-3214 under lease number GS-01P-LRI04903 (the “Lease”) for the above agencies. The Lease expires September 30th, 2026. Approval is requested to negotiate a superseding lease with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The procedures for pursuing a superseding lease are detailed in GSAR 570.402 and 570.404.

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

(INCLUDING ESTIMATED VALUE).

The above agencies have a continuing need for 24,770 rentable square feet of office and related space.

This requirement is for 21,489 ABOA/24,770 RSF of space for a 10-year term to commence on December

31st, 2024. Including tenant improvements, 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 Downtown Providence.

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 and 570.404. In accordance with GSAR 570.402 and 570.404, use of the sole source authority is appropriate where it is determined that award to any other offeror would result in substantial duplication of costs to the Government that are not expected to be recovered through competition.

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

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

Docusign Envelope ID: 37390AD6-1034-44DB-BEB7-DAC70218A218

(b) (5)

(b) (5) (b) (5)

It is in the best interest of the Government to remain at the current location. Award to other than the current Lessor would require relocation of the entire requirement and would cause the agencies to incur move and replication costs that would not be recovered through competition. Relocation costs are estimated to be . Additionally, this allows the Government to make use of existing tenant improvements, avoiding replication costs of . A cost-benefit analysis was completed following the procedures set forth in GSAR 570.402-6. The cost of relocating the agencies using the low cost quote exceeds the cost of remaining at 380 Westminster Mall. The total savings to the Government is .

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, GSA placed an advertisement on the Contracting Opportunities domain of SAM.gov on October 22nd, 2024 for 15 days. In addition, PBS conducted market research using CoStar.

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

GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market research conducted by GSA in Downtown Providence showed the asking rental rate within the delineated area ranges from to per square foot. The market research was conducted using CoStar.

Therefore, the proposed rental rates for this superseding lease of , not including tenant improvements, are within the current market range for this submarket and are deemed fair and reasonable by the GSA Lease Contracting Officer.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

GSAR 570.402-5 allows for negotiation with the incumbent Lessor when a cost-benefit analysis shows that the Government cannot expect to recover relocation and duplication costs through competition.

On October 10th, 2024, PBS conducted market research using CoStar and identified 6 potentially acceptable locations (5 plus the incumbent) that could potentially meet the agency’s needs within the delineated area. In addition, GSA posted an advertisement conforming to GSAR 570.402-2 on the Contract Opportunities domain of SAM.gov website on October 22nd, 2024. The incumbent Lessor’s expression of interest indicated that the rate would be per RSF, not including tenant improvements. No other Expressions of Interest were received by the published deadline of November 6th, 2024.

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

Docusign Envelope ID: 37390AD6-1034-44DB-BEB7-DAC70218A218

(b) (5)

(b) (5)

(b) (5)

(b) (4) (b) (4)

(b) (4)

(b) (4)

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 superseding lease of 24,770 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_____________________ Lori Melchin, 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.

___________________________________________________ Date______________________ Jared Hebner, Leasing Specialist

13. REGIONAL COUNSEL APPROVAL.

___________________________________________________ Date______________________ Carey Bergeron, Regional Counsel

14. LEASING DIRECTOR APPROVAL.

Vicki Kwiatek, Leasing Director

15. COMPETITION ADVOCATE APPROVAL.

Matt Bailey, Deputy Regional Commissioner

16. HEAD OF CONTRACTING ACTIVITY APPROVAL.

Glenn Rotondo, Regional Commissioner

Docusign Envelope ID: 37390AD6-1034-44DB-BEB7-DAC70218A218

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File details come from the government source that posted it. Updated .