6TX0479_FWS_and_USGS_JOTFOC.pdf

6TX0479/

Justification For Other Than Full And Open Competition PAGE 1 OF 5 Last Revised 2/7/13

U.S. General Services Administration

GSA Region 7

Leasing Division

Justification for Other than Full and Open Competition

Lease Number: GS-07B-14839 and GS-07B-15438

Project Number: 6TX0479

Agency Name: Fish and Wildlife Services and United States Geological Survey

Total Contract Value: $6,394,999.05

1. Identification and Description of Action Being Approved:

The General Services Administration currently leases 20,950 usable square feet (USF) of office, warehouse and related space for the U.S. Geological Survey (USGS) at 5563 De Zavala Road San Antonio, TX 78249, under lease #LTX14839 which expires November 14, 2016 but may be terminated in whole or in part at any time by giving at least 60 days notice in writing to the Lessor. The General Services Administration also currently leases 2,527 USF/2,906 RSF of office, warehouse and related space for the U.S. Fish and Wildlife Service (FWS) at Northwest Business Center, 1874 Grandstand Drive, San Antonio, TX 78238, under lease number LTX14780.

The current FWS lease expires May 31, 2017, but may be terminated in whole or in part at any time by giving at least 60 days notice in writing to the Lessor. As the Department of Interior works to consolidate space, FWS will terminate lease #LTX14780, USGS will reduce their total requirement to 15,092 USF/15,476 RSF, and FWS will move into the 5,518 USF/5,703 RSF of the USGS’ remaining space. This superseding lease action will be for a 15 year term. Approval is requested to negotiate a superseding lease with the incumbent landlord without full and open competition for continued occupancy at this leased location.

2. Description of Supplies or Services Required:

This requirement is for 21,179 RSF/ 20,610 USF of office and related space for a fifteen year / five year firm term lease requirement, to commence on November 23, 2013. The estimated annual cost of this lease is approximately $23.31 per RSF for the firm term and $18.49 for the soft term per year for USGS & FWS space, for a total contract value of $6,394,999.05.

3. Identification of Statutory Authority:

41 U.S.C. 253(c) (1): Only one responsible source and no other supplies or services will satisfy agency requirements for the USAO.

4. Demonstration that the Acquisition Requires use of the Authority Cited:

GSAM 570.404 allows for execution of a superseding lease to replace an existing lease when the Government needs numerous or detailed modifications to the space that would cause complications or substantially change the present lease or when market conditions warrant renegotiation of an existing lease.

Award to other than the current Lessor would require relocation of the entire requirement and would cause USGS & FWS to incur move and replication costs that would not be recovered through competition. USGS uses their current location as general purpose office space and warehouse/chemical storage space. The space consists of office space, visitor reception area, conference/ training room, copy/mail/fax room, evidence room, private restroom/shower rooms, warehouse, and laboratory/chemical storage.

Justification For Other Than Full And Open Competition PAGE 2 OF 5 Last Revised 2/7/13

Cost Benefit Analysis

Acquisition of 20,610 ANSI/BOMA Office Area (ABOA) Square Feet 15Year (Full Term) Analysis:

Present Location

5563 De Zavala Rd

Alternate Location

5730 Northwest Parkway

15-Year Total Rent/Annual ABOA rate $5,873,995.65/$19.00 $5,416,529.25/$17.52

New amortized tenant improvements (FWS Only) (FWS and USGS) $169,650.27 $636,878.43

($139,448.09 x 8% ($523,497.44 x 8% interest over 5 years) interest over 5 years)

Cost of physical move. ** Include the following information in the estimate:

Number of people moving

Number of cabinets or estimate 2 cabinets/person

Number of boxes (or number of boxes per person) Number of existing workstations to disassemble, move, and reassemble

Move freestanding furniture ($/ABOA SF; # of rooms).

Temporary contingency storage fees per workstation per month, if appropriate

Furniture project management fees

Space planning project management fees

(FWS Only) $36,475.25

(FWS and USGS) $71,607.77

Voice and data move. ** Includes both move and replacement costs, since moves sometimes trigger replacement of equipment that otherwise would have been used for a longer time. Include the following elements in the estimate:

Purchase and install new ISDN phone systems

Purchase new handsets

New voice/data ISDN line

Relocate existing voice/data ISDN line (including phones in conference rooms, lines for fax machines, etc.

Purchase and install new analog phone system

New voice/data analog line (fax)

Purchase new switch

Purchase new phones and voicemail system

Purchase new LAN printer (data line)

Relocate existing LAN printer (data line)

Purchase and install new computer equipment

Relocate existing computer equipment

Relocate computer rooms (# rooms $/ABOA

SF/room)

Telecommunications project management fees

(FWS and USGS) $66,833.92

Duplication of Reimbursable Work Authorization (RWA) alterations (above agency customization tier)

Temporary storage fees, include contingency storage fees per workstation per month, if appropriate

Total 15-year cost/annual ABOA rate (no escalations included)

$6,080,121.17/$19.66 $6,191,849.37/20.02

Full Term lease savings $111,728.20

** Estimate the cost of relocation by conducting market research, which involves:

Justification For Other Than Full And Open Competition PAGE 3 OF 5 Last Revised 2/7/13

Reviewing PBS & Federal Acquisition Service client agency costs for recent relocation services

Asking private companies their costs for recent relocations

Searching for printed and on line advertisements for relocation services with quoted rates

Calling service providers for quoted rates.

The cost of relocating USGS & exceeds the cost of remaining at 5563 De Zavala, San Antonio, TX. The savings to the Government is $111,728.20 over the firm term of the lease. Based on this cost-benefit analysis, the Government cannot expect to recover relocation and duplication costs through competition. Therefore, the Government intends to negotiate a superseding lease and remain at its current location.

5. Description of Efforts to Solicit as Many Offers as Practical:

On July 16, 2012, Jones Lang LaSalle conducted market research and identified five potentially acceptable locations (four plus the incumbent) that might meet the agency's needs within the delineated area. GSA also placed an advertisement on the Federal Business Opportunities Web site (www.fbo.gov) March 4, 2013 and generated no responses.:

Incumbent:

5563 DeZavala Rd. $18.54 per rsf

Other:

4600 Lockhill-Selma Rd $20.39 per rsf

5730 Northwest Pkwy $17.05 per rsf

5300 Wurzbach Rd $18.97 per rsf

5309 Wurzbach Rd $19.80

6. Demonstration that the Anticipated Cost will be Fair and Reasonable:

In accordance with Federal Acquisition Regulation (FAR) 6.303-2(a) (7), the Contracting Officer determines by certifying this document that the anticipated cost to the Government of $20.13/RSF for the entire requirement is fair and reasonable.

Recent market research conducted by Jones Lang LaSalle in San Antonio, TX on July 16, 2012 showed the rental rate within the delineated area ranges from $17.05 to $20.39 per RSF.

7. Description of the Market Survey Conducted:

The Fish and Wildlife Service sought to lease approximately 4,908 Usable Square Feet of office and related space in San Antonio, TX, and six (6) existing buildings were toured on November 16, 2011. All six (6) buildings were determined to meet the Agency’s requirements but none of the viable alternatives produced a competitive offer. The solicited properties did not produce offers for the following reasons:

Justification For Other Than Full And Open Competition PAGE 4 OF 5 Last Revised 2/7/13

Market Data for the Area

Address

Asking Full Service Rental Rate

San Antonio Distribution Center, 3543 IH-35 North

Declined to participate in the solicitation because their offered space was under contract for lease.

9901 Broadway Street Declined to participate in the solicitation due to time involved with securing a GSA tenant.

Interpark Business Park Building 11, Suite 1103, 121 Interpark Blvd

Declined to participate in the solicitation because their offered space was under contract for lease.

University Business Park, 125000 Network Blvd

Unresponsive to the solicitation.

University Park Service Center, 12679 Silicon Drive

Declined to participate in the solicitation due to the Fish and Wildlife Service’s requirements.

Network Tech Center, Building A, 12450 Network Blvd

Declined to participate in the solicitation due to the Fish and Wildlife Service’s requirements.

8. Other Facts Supporting the use of Other Than Full and Open Competition:

N/A

9. List of Sources that Expressed an Interest in the Acquisition:

10. Statement of Actions to Overcome Barriers to Competition:

Not Applicable.

11. CONTRACTING OFFICER CERTIFICATION

By signature on this justification for Other than Full and Open Competition, the Contracting Officer certifies that the award of a superseding lease of 21,179 RSF is in the Government's best interest and that this Justification is accurate and complete to the best of my knowledge and belief.

3/26/2013

X Garhett Gordon

Contracting Officer*

(Approver up to $650,000 TCV)

12. TECHNICAL REQUIREMENTS PERSONNEL CERTIFICATION

I certify that by signature on this Justification for Other than Full and Open Competition, the supporting data used to form the basis of this Justification is accurate and complete to the best of my knowledge and belief.

3/19/2013 3/20/2013

Justification For Other Than Full And Open Competition PAGE 5 OF 5 Last Revised 2/7/13

X Sydney Oliver

Project Manager

X Leasing Specialist

REVIEW, CONCURRENCE AND APPROVAL

Justification For Other Than Full And Open Competition PAGE 6 OF 5 Last Revised 2/7/13

Invalid signature Invalid signature

X Donna King (Acting)

Leasing Director*

X Ted Taliaferro

Legal Counsel*

4/3/2013

X James M. King

James King, Competition Advocate*

(Approver $650,001 - $12.5M TCV)

FAR Part 6.303 requires that information on which the Justification is based be certified as complete and accurate by the technical or requirements personnel. FAR Part 6.304 specifies that the justification must be approved in writing by a specified designee (position title from FAR used above) based on TCV. No additional guidance is included in GSAM Part 506.3. *Regional practice requires concurrence by the Leasing Director and Legal Counsel where TCV>$650,000, by the RC where TCV>$12.5M and by all lower level approvers.

M=Million NAR=Net Annual Rent (Annual Rent less Operating) TCV=Total Contract Value HCA=Head of Procuring Activity SPE=Senior Procurement Executive