JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION U.S. Bankruptcy Court Lease Number GS-05B-18277 Joliet, IL This justification for other than full and open competition is submitted in accordance with FAR 6.302.1 and GSAM 570.405 PROPOSED ACTION: To acquire a sole source, three (3) year, two (2) year firm, lease at 57 W. Jefferson Street, Joliet, IL. The lease would fulfill the needs of the U.S. Bankruptcy Court (USBC). DESCRIPTION OF REQUIREMENT: The U. S. Bankruptcy Court requires space for a courtroom and chambers in Joliet, IL, for use on a part time basis. The Court holds hearings in Will County one day a week in order to ease the case load in the Dirksen Federal Courthouse in Chicago IDENTIFICATION OF STATUATORY AUTHORITY: 41 U.S.C. 253 (c) (1) NATURE OF ACQUISITION REQUIRING AUTHORITY CITED: The USBC is currently located in a leased location in an office building located across from the Will County judiciary complex, which is in the Central Business District (CBD). When the lease commenced in 1999, the building was privately owned; during the term of the lease the building was acquired by Will County. Will County has converted the building to County offices and civil courtrooms. The court needs to be located in close proximity to County offices and services, as well as to be convenient to persons and attorneys appearing in the court. Security, including entry screening, for the existing location is provided by Will County DETERMINATION THAT ANTICIPATED COST IS FAIR AND REASONABLE: This procurement is for 2,860 rentable square feet of space for a courtroom and chambers for USBC. An ad in FedBizOps in May, 2008, received no replies. A Market Survey conducted in May, 2008, did not identify any locations capable of meeting the requirements of this acquisition. Realty and Customer Service Management provide a market range of $14.00 to $26.00 per rsf for a fully serviced lease, with a mid-point of $20.00. Although no locations were identified which could meet the requirements of this acquisition, the asking rates for available locations were listed as $14.00 on a non-fully serviced basis; with operating expenses and taxes of approximately $5.50 indicated for these locations, the fully serviced rate would be $19.50.The estimated rent for this space is $18.00 based on discussions with the current Lessor, Will County.. The annual rent would be $51,480.00. Because USBC only uses this space one day a week, USBC has agreed in principal with Will County to allow them to use the space when it is not being used by USBC, with a corresponding reduction in rental. This will result in an annual rent of $10,296.00, at a rate of $3.60 per rsf, fully serviced. The Office of Regional Counsel has agreed in principal to this arrangement, the exact provisions in the lease will be approved by the Office of Regional Counsel. The County is only willing to offer a three year term as they anticipate an increased need for courtrooms bases on the results of the 2010 Census. FUTURE ACTION TO OVERCOME BARRIERS TO FULL AND OPEN COMPETITION: A sole source procurement is highly recommended at this time, due to the current location being vital to the agencies' missions. Upon the completion of this acquisition, it may be in the customer's interest to seek alternative space as it is likely that the County will require full time use of the courtroom in several years if the growth of the County continues Based on the above, it is in the best interest of the Government to enter into a noncompetitive negotiation for a three (3) year, two (2) year firm, succeeding lease for U.S. Bankruptcy Court. The total contract value over the lease term is estimated to be is $30,888.00, or $26,598.00 net of operating expenses. I, the Realty Specialist, hereby certify that the above information is accurate and complete to the best of my knowledge. PREPARED BY: ___________ Donald Erickson Date Realty Specialist, Judiciary Client Delivery Team (5PC3) Concur: ___________ Kimberly Barnes-Staples Date Manager, Judiciary Client Delivery Team (5PC3) Approved, __________________________________________________________ Kimberly Barnes-Staples Date Contracting Officer: Judiciary Client Delivery Team (5PC3)