8WV2073_JOFOC (final signed)_Redacted.pdf

Memo to File: Justification for Other Than Full and Open Competition, Unevaluated Renewal Option

U.S. General Services Administration

GSA Region 3

Charleston Service Center, South Branch

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 8WV2073

Agency Name: Department of Labor, Bureau of Apprenticeship and Training (DOL BAT)

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

The General Services Administration currently leases 420 ABOA SF/ 525 rentable square feet (RSF) of office space at under lease number LWV04367 for DOL BAT. The current lease expires 9/30/2019. Approval is requested to execute an unevaluated five (5) year lease renewal option, with the incumbent Lessor without full and open competition for continued occupancy at this leased location.

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

(INCLUDING ESTIMATED VALUE).

On July 19, 2018, DOL BAT submitted a formal request for 150 ABOA SF (a reduction of 270 ABOA SF).

After extensive market research, PBS determined this was not a viable requirement for the market. On October 31, 2018, PBS formally requested that the DOL BAT contact seek a space waiver from their headquarters to maintain the current square footage given a lack of alternatives in the marketplace. On February 4, 2019, DOL BAT indicated this waiver had been granted by their headquarters. GSA sent an OA to codify this agreement which was signed and returned on March 21, 2019.

This requirement is for 420 ABOA SF/ 525 RSF of space for a five (5) year term to commence on 10/1/2019. 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 Martinsburg City Limits.

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. In accordance with FAR 6.302-1 and GSAR 570.402, 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.

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 DOL BAT 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 and is attached to this justification. The cost of relocating DOL BAT using the low cost quote exceeds the cost of remaining at . 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, no FBO ad is required for this action.

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

THE GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market surveys conducted by PBS via in Martinsburg, WV showed the rental rate within the delineated area ranges from per RSF.

Therefore, the proposed rental rates for this succeeding lease of /RSF, 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 March 7 th , 2019, PBS conducted market research using CoStar and identified one (1) potentially acceptable locations in addition to the incumbent that might meet the agency’s needs within the delineated area.

See Figure 1 below for the results of the market research including the incumbent.

Address Source [EOI/CoStar, etc.] Advertised Rental

Rate Adjusted Full

Service Rental Rate

Lease Fully- Serviced

Fully- Serviced

Modified Gross

Fully-Serviced

Figure 1: Market Research Comparables

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

Once the single remaining employee retires, this lease will be terminated.

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 succeeding lease of 525 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.

6/14/2019

X Sam Ruiz, LCO

Realty Supervisor - 3PRSC

Signed by: SANDRO RUIZ

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.

6/14/2019

X Lauren Williams

Realty Specialist - 3PRSC

Signed by: General Services Administration