FAA seeks office space in Rapid City, SD

AMENDMENT 1: This amendment is to refine the requirements based on customer needs: 1. LEASE TERM: 10 years with a maximum firm term of a 1 year. The Government may terminate the lease in whole or in part at any time with a written notice to the Lessor. This amendment supersedes all references to the Term in the original solicitation. AWARD CLARIFICATION: Award will be made to the responsive and responsible Offeror, who is found to be the lowest priced, technically acceptable considering costs over a 10-year term. 2. TWO CLAUSES ARE ADDED TO THE LEASE: Operating Costs Adjustment: "Beginning October 1, , and each year after, the Government shall reimburse the Lessor for changes in the costs of services and utilities attributable to the Government's occupancy. These costs will be based on the ratio of square feet occupied by the Government to the total rentable square feet in the building. The Government will pay actual expenses incurred each Government fiscal year (October 1 - September 30) after the first year. To justify any increase in operating expenses, the Lessor will submit supporting documents (i.e. copies of invoices paid) to request any additional payments. The Lessor must furnish invoices and documentation to the Government by December 31 of the same calendar year. Only one adjustment will be made annually and will become effective thirty (30) days from receipt of notice, but no earlier than the first day of October of the adjustment year. Upon approval of the request by the RECO, the Government will provide the Lessor with a lump-sum payment. If desired by both parties, the operating expenses may be renegotiated for the option term, and the lease may be amended by supplemental agreement. Additional reimbursement for operating expenses may not exceed 5% of the previous year's operating expenses. In the event of any decreases in operating expenses during the term of the Government's occupancy under this lease, the rental amount of costs of services and utilities will be reduced accordingly. The amount of such reductions will be determined in the same manner as increases in rent provided under this article. Tax Adjustment (09/2021) 6.2.9 "A. The Government shall pay for its share of increases in real estate taxes over the taxes paid for the calendar year in which its lease commenced. Payment will be in a lump sum and become due on the first workday of the month following the month in which paid tax receipts for the base year and the current year are presented to the CO, subject to the availability of funds. The Government will be responsible for payment only if the receipts are submitted within sixty (60) calendar days of the date the tax payment is due. If no full tax assessment is made during the calendar year in which the Government lease commenced, the base year will be the first year of a full assessment. B. The Government's share of the tax increase will be calculated by multiplying the ratio of the square feet occupied by the Government to the total rentable square feet in the building by the total tax increase. If the Government's lease terminates before the end of a calendar year, payment will be based on the percentage of the year in which the Government occupied the space. The payment will not include penalties for non-payment or delay in payment. If there is any variance between the tax assessed value of the Government's space and other space in the building, the Government may adjust its share of the tax increase. C. The Government may contest the tax assessment by initiating legal proceedings on behalf of the Government and the Lessor or the Government alone. If the Government is precluded from taking legal action, the Lessor shall contest the assessment upon reasonable notice by the Government. If the Government elects to contest the tax assessment, payment shall become due on the first workday of the month following conclusion of the appeal proceedings. D. In the event of any decreases in real estate taxes occurring during the term of occupancy under the lease, the amount will be reduced accordingly. The amount of any such reductions will be determined in the same manner as increases provided under this clause." ------------------------------------------------------------------------------------------------------------------------------------------------------------------- ORIGINAL: The Government is currently leasing 6,413 square feet of office space in Rapid City, SD. The lease expired August 31, 2019. The Government has a continuing need for space and seeks to lease 3,060 usable square feet of office space, 3 off-street parking spaces for Government vehicles, and any additional visitor parking in accordance with the local code requirements. The Government will use this SFO to determine the best interest of the Government, and whether to stay in the current space or move to another taking into account Offerors rent concessions or other incentives to offset relocation costs. Please see attached for more information. LOCATION: Within a 10-mile radius of 3501 5th St., Rapid City, SD (see attached map for reference). LEASE TERM: Up to 20 years with a maximum firm term of a 1 year. The Government may terminate the lease in whole or in part at any time with a written notice to the Lessor.