Section 2 - Office Space

Steps for Leasing of Service Center Space

Service centers that house only one agency do not require State Administrative Committee (SAC) involvement. Those service centers will work directly with their state office.

Leasing Authority

Farm Service Agency (FSA) generally serves as the lead agency for service center space. FSA is currently operating under General Services Administration (GSA) delegated leasing authority for general purpose leasing which includes office space. To ensure leasing authority is properly administered, FSA is required to follow procedures in both the USDA Leasing Handbook and handbook 31-AS, Real Property, Personal Property, and Motor Vehicle Management.

Step 1 - Develop Space Requirements

Within 12-18 months prior to expiration of current lease, the USDA Service Center Implementation Team (SCIT) shall develop space requirements and unique factors required by all USDA agencies. During this phase, establishing the agencies' need involves identifying and describing the location (delineated area) and, developing space requirements (number of personnel to be housed/total square footage per agency, total square footage for shared usage areas) as well as any other technical/special space requirements needed. Local Food and Agriculture Council (FAC) completes and submits AD-2061, Request for Space, as well as an Acquisition Plan to the SAC for review. SAC approval or disapproval is provided back to local FAC and the lead leasing agency.

Step 2 - Notifications

County Executive Director (CED) notifies local officials of agency space needs. CED also checks locally for vacant Federally-controlled space that meets agency needs. FSA, through their national office, requests permission from GSA to solicit for space.

Step 3 - Lease Action Summary/Market Survey

CED completes GSA-3627, Market Survey, to identify all possible blocks of space which meet, or are capable of meeting, the Government's minimum requirements. Results will be provided to SAC.

If after review of agency space requirements and/or market survey indicates that full and open competition is not possible, other than full and open competition procedures to fulfill the space needs can be requested. State Office Representative provides assistance to CED to determine proper steps/procedures in obtaining renewal, succeeding or new lease.

Step 4 - Solicitation for Offers (SFO)

The SFO lists the requirements an offer must satisfy to be considered for a lease award, describes the method used to evaluate offers, and contains clauses that give the lease legal standing. SAC initiates SFO with Local FAC input and forwards recommendations to Real Property Leasing Officer (RPLO) for issuance of SFO. After lease is awarded, the solicitation completed by the successful offeror (lessor) becomes part of the lease.

Step 5 - Advertise

In accordance with FSA procedure, solicitations must appear for at least three nonconsecutive days over a three week period. Provide a copy of the solicitation to all parties who respond to the advertisement as well as any other potential lessors contacted during the market survey, any potential lessors from agency source list, as well as, the current lessor. A confidential list of all parties receiving the solicitation must be kept by the CED.

Step 6 - Negotiations and Evaluation

RPLO will issue letter of Realty Specialist Designees (RSD) which will typically be the CED. RSD will identify and notify RPLO thru State Office Representative of any nonresponsive offers. RSD shall conduct negotiations, evaluate offers and keep RPLO informed. Negotiation participants are limited to the RSD and one representative from each collocated USDA agency (local FAC members). Only the RSD or RPLO may negotiate final terms during the preselection process. Local FAC shall review and forward recommended award selection to SAC. SAC will review and forward recommended award selection to RPLO for concurrence. RPLO will execute the contract to the successful offeror.

Important: The solicitation and award process is confidential. Keep all lists of offers as well as contents of offers confidential.

Step 7 - Construction/Remodeling Stage

Changes must be avoided once final building plan is approved by FAC, SAC and RPLO. If changes are determined to be justifiable, they must be approved by FAC, SAC and RPLO. Contacts with the builder and/or lessor must be made only by the RSD or RPLO. Since occupancy depends upon the lessor's completion of space, RSD shall visit building site regularly to monitor building progress and assure timeframes are met.

Step 8 - Inspections

RSD inspects office space to confirm the lessor has provided the space agreed upon in accordance with the lease terms. RSD completes weekly inspections as soon as site preparation begins to ensure solicitation requirements are met. RSD completes GSA-1204, Condition Survey Report(s). Final inspection shall be completed one week prior to scheduled occupancy date. RSD will identify items requiring attention, deficient and/or uncompleted items on "punch list" and document agreed-to completion date(s).

Step 9 - Other Lease Actions – (in concurrence with FAC and SAC)

Renewal Option – The unilateral right to the original lease contract by which, at a specified time, or times, the Government may elect to extend the term of the lease for a specified period of time.

Succeeding Lease – When a lease does not contain a priced renewal option, and the agency is satisfied with the office space and the lessor’s performance, the agency may negotiate a succeeding lease.

FSA-875, Reimbursable Agreement – Each time there is a rental rate change, leased square footage change and/or recurring cost change, CED shall initiate a reimbursable agreement, obtain all FAC signature(s) and forward to FSA-STO for all agency state office review/signature and subsequent agency billing. This process assures FSA receives reimbursement from all collocated agencies.

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