JOFOC LID05599 FBI Boise -r.doc

For Lease Extension/Lease Number GS-10B-05599

GENERAL SERVICES ADMINISTRATION REGION 10

PUBLIC BUILDINGS SERVICE

REAL ESTATE ACQUISITION DIVISION

SPACE ACQUISITION

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

1. Identification and Description of Action Being Approved:

This justification for other than full and open competition is being undertaken for the Federal Bureau of Investigation (FBI) located in the First Interstate Center, Boise, Idaho. This action is being undertaken by the General Service Administration (GSA), Public Buildings Service (PBS), Northwest Arctic Region 10, Real Estate Acquisition Division located in Region 10 Headquarters in Auburn, Washington.

The action being proposed is a lease extension for a period of two years with the right to terminate the lease upon 180 days notice after one year. This extension will allow the agency to continue to operate its office in Boise while GSA completes a new long term procurement. The long term requirement has been tasked to the broker and a Project Orientation Meeting was held on 10/7/2008. A Market Survey was conducted on 11/6/2008, but resulted in no space being found. A second Market Survey is tentatively scheduled for the end of March, 2009, and the delineated area will be expanded to provide a larger market.

Continuation of space is needed for FBI at First Interstate Center, 877 W Main St., Boise, ID 83702-5883 for a period of two years, one year firm. FBI was collocated with the United States Marshall Service (USMS), but USMS has since moved out of its space. The USMS space will be expiring April 10, 2009, and GSA will not renew this space. FBI occupies 13,705 RSF while USMS occupied 791 RSF, and the space that USMS occupied is currently vacant. The Lessor has re-measured the space occupied by FBI according to BOMA standards and the RSF will increase to 14,090 RSF. 12,713 RSF are located on the 4th floor of the building, while 1,377 RSF are located in the basement.

2. Description of Supplies or Services Required:

Continuation of space is required for FBI at its current location for a period of two years, one year firm from the date of expiration of the current Lease. The Lease will expire on 4/10/2009. The current rate for this Lease is $21.50/RSF, or $311,664 annually, which includes parking, operating costs, and tax expenses. FBI currently rents 13,705 RSF of space in this lease out of 14,496 RSF, the remainder belonged to USMS which will not be renewed and is currently vacant. Therefore, the current rental rate for FBI is $294,657.50. The space FBI occupies was re-measured by the Lessor according to BOMA standards and will increase to 14,090 RSF. This has been confirmed through drawings from the Lessor’s architect.

3. Identification of Statutory Authority:

41 U.S.C. 253(c)(1) and FAR 6.302-1. Only one responsible source and no other supplies or services will satisfy agency requirements.

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

FBI has occupied the space located in the First Interstate Center since 12/1/1990 and is currently satisfied with the building. Although GSA will be procuring new space for the long term requirements of FBI, the costs associated with moving the agency to new space for a short term extension and the time it would take would significantly increase overall costs to the Government. These cost increases are specifically identified in the cost/benefit analysis included under Section 9. Therefore, in accordance with 41 U.S.C. 253 (c), (1), the minimum needs of the agency can only be satisfied by unique supplies or services available from only one responsible source and no other type of property or services will satisfy the needs of the agency.

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

In accordance with GSAM 505.202(b)(2)(ii), an advertisement was not placed as this action is a supplemental lease agreement for an extension meeting the criteria set forth in GSAM 570.405.

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

In accordance with 41 U.S.C. 253 (f)(3)(c), the Contracting Officer determines that the anticipated lease cost to the Government of approximately $338,160.00 annually, assuming an offer rate at or below $24.00/RSF, full service, will be fair and reasonable based upon favorable comparison to prices obtained through market research for the same or similar space.

7. Description of the Market Survey Conducted:

The market data below was found via the internet using CoStar and Loopnet. These rates do not account for GSA’s additional SFO requirements. For comparative purposes, the average of these three rates will be used in the cost/benefit analysis located in Section 9.

Market Data for the Area

a. 3200 N Lakeharbor Ln.

Boise, ID 83703 $16.80/RSF+nnn

b. 6151 N Discovery Way - II Boise, ID 83713 $17.00/RSF+nnn

c. 1111 W Jefferson St.

Boise, ID 83728 $20.25/RSF+nnn

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

Based on the cost/benefit analysis located in Section 9, it is in the best interest of the Government to remain in its current location.

9. Cost Benefit Analysis Results:

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

Given the fact that the requirement was not advertised, as set forth in paragraph

6 above, no sources expressed interest in the acquisition.

11. Statement of Actions to Overcome Barriers to Competition:

A two-year extension at the rate of $24.00/RSF with the right to terminate after one-year upon 180 days prior written notice will give GSA adequate time to procure new space to meet the long term requirements of FBI. This rate is fair and reasonable and is of best value to Government, according to the cost/benefit analysis located in Section 9.

12. (a) Prepared By:

Joshua Campbell________________________

1/27/2009

(b) Realty Project Manager/Technical or Requirements Official Certification I certify that the supporting data used to form the basis of the justification is complete and accurate. If the same individual serves as the contracting officer and project manager, the signature of their supervisor is required.

Joshua Campbell, Lease Contracting Specialist Intern

[Date]

(c) Supervisor/Contracting Officer Certification I certify that this justification is complete and accurate to the best of my knowledge.

Terria Heinlein, Lease Contracting Officer

[Date]

� EMBED Excel.Sheet.8 ���

_1302346990.xls Sheet1

2-Year Lease Renewal - LID05665 877 W Main St. Alternate Location

Annual Shell $267,710.00 $253,901.80

Annual Operating Expenses (OE) ($5.00/RSF) $70,450.00 $70,450.00

Other Expenses

TIA: Existing Space $0.00 N/A

*TIA: New Space N/A $504,789.84

**Cost of Physical Move ( RSF x $4.00/RSF) $0.00 $56,360.00

**Cost of Telephone & Data (RSF x $2.00/RSF) $0.00 $28,180.00

Total: Other Expenses $0.00 $589,329.84

Total: Annual Rent $338,160.00 $324,351.80

Total: Cost Over 2-year Term $676,320.00 $1,238,033.44

Total: Savings Over 2-Year Term $561,713.44

*TIA for new space is estimated at $41.94/USF. The TI is amortized over the first year of the lease as the lease has a one year firm term.

**Cost Estimates are averages as provided by GSA.

RSF = 14,090

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