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  6. CD-2021-02

Class justification CD-2021-02: Class justification - Other than full and open competition for urgent lease acquisitions

CD-2021-02
April 1, 2021
MEMORANDUM FOR GSA CONTRACTING ACTIVITIES
FROM AND DIGITALLY SIGNED BY: Jeffrey A. Koses, Senior Procurement Executive, Office of Acquisition Policy
SUBJECT: Class justification - Other than full and open competition for urgent lease acquisitions

On this page

  1. Purpose.
  2. Background.
  3. Authority.
  4. Applicability.
  5. Limitations.
  6. Requirements.
  7. Cancellation.
  8. Effective date.
  9. Point of contact.
  10. Attachments.

1. Purpose.

This memorandum approves a class justification providing Public Buildings Service (PBS) limited authority to use other than full and open (OTFO) competition for certain emergency lease actions. The class justification is pursuant to the Federal Acquisition Regulation (FAR) 6.302-2(c)(1) requirement that the contracting officer (CO) documents the contract file describing the circumstances that justify the use of other than full and open competition procedures due to unusual and compelling urgency for an urgent situation. [1]

2. Background.

GSA Order ADM P 2430.3, The General Services Administration Emergency Program, establishes GSA’s overall guidance for assisting Federal agencies in emergencies. The Order states that the program was established “to ensure the U.S. General Services Administration (GSA) is adequately prepared to respond to an emergency event effectively.”

GSA is often called upon to provide workspace and related support services to Federal agencies in emergencies. The need to provide such workspace and services in support of disaster relief efforts is often of unusual and compelling urgency. Any delay could seriously harm a critical Government program and the recipients of Federal assistance. The Federal Property and Administrative Services Act (see 41 U.S.C. 3304, and FAR 6.302-2) allows for contracting without full and open competition when there is an unusual and compelling urgency (see Attachment A).

This class justification satisfies the requirements of FAR 6.302-2 for the vast majority of GSA emergency lease procurements and streamlines the process for efficiently awarding these contracts. It also highlights those areas which merit additional attention.

3. Authority.

This class justification is issued in accordance with GSAM 501.404 and 501.707. The justification is pursuant to the authority and requirements contained in FAR 1.703, 1.704, 6.302-2, and 18.104.

4. Applicability.

This class justification applies to individual acquisitions of workspace and related supporting emergency services provided to Federal agencies:

  1. to facilitate recovery from an emergency or major disaster declared by the President under applicable statutory authority, including, but not limited to, the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.) or the National Emergencies Act (50 U.S.C. 1601 et seq.);
  2. to facilitate disaster preparedness or response;
  3. to facilitate recovery from a cyber, nuclear, biological, chemical, or radiological attack; or
  4. to facilitate the preparedness or response to health, safety, or other issues which so adversely impact the mission of an agency in a government controlled location as to necessitate the agency’s expeditious relocation.

5. Limitations.

This class justification is limited to lease acquisitions—

  1. with a total period of performance no longer than one (1) year, unless exceptional circumstances exist (see Attachment B); and
  2. with a total contract value up to the prospectus threshold [2], unless a higher threshold is approved by the HCA.

6. Requirements.

Applicable lease procurements are subject to the following requirements.

Due to the unusual and compelling urgency of the requirement, expedited procedures may be utilized, including informally requesting quotes via telephone or email or other electronic means.

Due to the unusual and compelling urgency of the requirement, it is not in the Government’s interest to post a synopsis notice to the GPE for applicable lease procurements, pursuant to FAR 5.202(a)(2)).

For each proposed lease contracting action taken pursuant to this class justification, as a reminder, contracting officers should ensure the contract file includes documentation of the below details. These details could be captured in the acquisition plan, price negotiation memorandum, or other acquisition document.

  1. Certification that the requirement falls within the scope and applicability of this class justification (see Attachment C) (see FAR 6.303-2(b)(12)).
  2. Determination that the proposed contractor is responsible (see FAR 9.104-1).
  3. Determination of fair and reasonable pricing consistent with market conditions and the Government’s requirements (see FAR 13.106-3).

7. Cancellation.

Class Justification OTFO 1992 for the Acquisitions of Space and Related Services to Support Federal Agencies Acting in Response to Emergencies or Major Disaster Situations signed on Nov 5, 1992, is hereby canceled in its entirety.

8. Effective date.

This class justification is effective immediately and remains in effect until rescinded, amended or incorporated into the GSAR.

9. Point of contact.

Questions regarding this class justification may be directed to GSARPolicy@gsa.gov.

10. Attachments.

  • Attachment A - Justification for Other than Full and Open Competition for Emergency Lease Acquisitions.
  • Attachment B - Exceptional Circumstances Determination.
  • Attachment C - Contracting Officer Certification.

Attachment A - Justification for Other than Full and Open Competition for Emergency Lease Acquisitions.

  1. Identification of the agency and the contracting activity.
    GSA Public Buildings Service (PBS) contracting activities.
     
  2. Nature and/or description of the action being approved.
    Use of other than full and open competition procedures due to unusual and compelling urgency.
     
  3. A description of the supplies or services required to meet the agency’s needs.
    Acquisitions of leased workspace and related supporting services provided to Federal agencies to facilitate disaster preparedness or emergency response.
     
  4. An identification of the statutory authority permitting other than full and open competition.
    41 U.S.C. 3304 and FAR 6.302-2 allow for contracting without full and open competition when there is an unusual and compelling urgency.
     
  5. A demonstration that the nature of the acquisition requires use of the authority cited.
    GSA is often called upon to provide work space and related support services to Federal agencies in emergency situations. The need to provide such work space and services in support of disaster relief efforts is of unusual and compelling urgency, and any delay will seriously harm a critical Government program and the recipients of Federal assistance.
     
  6. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable.
    In accordance with FAR 5.202(a)(2) and FAR 6.302-2, contracting activities do not need to submit a synopsis if the delay would seriously injure efforts. However, competition will be solicited to the maximum extent possible from as many potential sources as is practicable, consistent with the circumstances of the particular emergency. Often, this may be done by phoning a reasonable number of sources and asking for quotes and availability, on the spot.

    Contracting activities in each affected region for a particular emergency will work in conjunction with Regional Emergency Coordinators (RECs), State and local government entities, commercially available real estate listing services, local real estate brokers, and the Federal Emergency Management Agency (FEMA), as applicable, to provide additional guidance for efficiently including small business concerns and quickly responding to requirements in support of relief efforts.
     
  7. A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable.
    The Government anticipates being able to negotiate a fair and reasonable price, taking into account market conditions existing at the time of acquisition. The Contracting Officer will determine that the price is fair and reasonable at the time of contract award and will conduct the respective price analyses at the contract level consistent with FAR subpart 15.4, including FAR 15.404-1(b). The Contracting Officer may use existing non-competitive contracts for price comparison, historical pricing data or other available pricing tools to determine the price fair and reasonable. This determination will be documented in the contract file.
     
  8. A description of the market research conducted.
    The Contracting Officer will utilize advanced market research tools such as commercially available real estate listing services, telephone market outreach, and any other market research tools available to the fullest extent possible.

    As the need for space arises, a market survey will be conducted. All potential sources which can be located within the timeframe, and which can provide habitable space suitable for the needs of the responding agency, will be solicited.
     
  9. Any other facts supporting the use of other than full and open competition.
    None.
     
  10. A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.
    Not applicable.
     
  11. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition.
    Under the circumstances described herein, there are no actions that the agency can take to overcome the barriers to full and open competition. Any subsequent acquisitions for similar services will be required to follow full and open competition.
     
  12. Contracting officer certification that the justification is accurate and complete to the best of the contracting officer’s knowledge and belief.
    This class justification CD-2021-02 may be used by GSA contracting officers for applicable emergency lease acquisitions to satisfy the required certification.

Attachment B - Exceptional Circumstances Determination.

Leases over the SLAT, acquired using unusual and compelling urgency procedures for an emergency, are limited to one year, including extensions and renewals, unless the HCA determines that exceptional circumstances exist. Accordingly, the HCA can sign a determination of exceptional circumstances to authorize leases with a term of more than one year, up to a maximum of five years.

Subject to informal approval from the HCA (e.g., via email) in advance, the exceptional circumstances determination may be signed after the lease acquisition award when formal signature prior to award would unreasonably delay the acquisition. This determination is required, regardless of whether a class or individual justification is used. The determination must be retained in the contract file.

When the regional team intends to execute a lease with an initial term of more than one year, a determination must be completed and signed by the LCO before forwarding to the HCA for approval. This determination must be signed by the HCA and placed in the file. Leases over the SLAT with initial terms of one year or less, which are later extended to make the total term more than a year, also require a determination.

Attachment C - Contracting Officer Certification.

This class justification may be used by GSA Contracting activities only when, with respect to each proposed lease contracting action taken pursuant to this class justification, the contracting officer executes and includes in the appropriate lease contract file the following certification:

“I certify that, to the best of my knowledge and belief, the requirement for space falls within the scope and applicability of the class justification for other than full and open competition for the acquisition of workspace and related supporting services in response to emergencies or major disaster situations specified in the applicability section of this class justification. The Contracting Officer anticipates being able to negotiate a fair and reasonable price consistent with market conditions and the Government’s requirements.”

Endnotes

[1] Urgent lease actions refer to leases entered into using urgent and compelling justifications to limit competition in response to an urgent need which may be related to a natural disaster, or may be more localized, such as mold or a fire at a particular building which requires the agency to relocate, temporarily or permanently.

[2] GSA Annual Prospectus Thresholds.

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Last updated: Feb 14, 2025
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  • An SBA program that gives preferential consideration for certain government contracts to business that meet the following eligibility requirements:

    • Be a small business
    • Be at least 51 percent owned and controlled by U.S. citizens, a Community Development Corporation, an agricultural cooperative, a Native Hawaiian organization, or an Indian tribe
    • Have its principal office located in a HUBZone
    • Have at least 35 percent of its employees live in a HUBZone

    See Title 13 Part 126 Subpart B of the Code of Federal Regulations for more information.

  • A type of contract when the quantity of supplies or services, above a specified minimum, the government will require is not known. IDIQs help streamline the contract process and speed service delivery.

  • A fee paid by businesses who are awarded contracts under Multiple Award Schedule to cover GSA’s cost of operating the program. The fee is a fixed percentage of reported sales under MAS contracts that contractors pay within 30 calendar days following the completion of each quarter.

  • A law that provides $3.375 billion for us to:

    • Invest in federal buildings with materials and technologies, making them more efficient, saving taxpayer dollars and creating opportunities for small businesses.
    • Help boost the competitiveness of American manufacturers developing materials.

    This includes $2.15 billion for low embodied carbon materials in construction projects, $975 million to support emerging and sustainable technologies, and $250 million for measures to convert more buildings into High Performance Buildings.

  • An investment in our nation’s infrastructure and competitiveness. The law provides funding for LPOE modernization projects that will create new good-paying jobs, bolster safety and security, and make our economy more resilient to supply chain challenges.

  • A written agreement entered into between two federal agencies, or major organizational units within an agency, which specifies the goods to be furnished or tasks to be accomplished by one agency (the servicing agency) in support of the other (the requesting agency).

  • A facility, also known as a border station, that provides controlled entry into or departure from the United States for persons or materials. It houses the U.S. Customs and Border Protection and other federal inspection agencies responsible for the enforcement of federal laws related to entering into or departing from the U.S.

  • An employee who is responsible for preparing, negotiating, awarding and monitoring compliance of lease agreements.

  • Criteria used to select the technically acceptable proposal with the lowest evaluated price. Solicitations must specify that award will be made on the basis of the lowest evaluated price of proposals meeting or exceeding the acceptability standards for non-cost factors.

  • The rate of reimbursement for driving a privately owned vehicle when your agency authorizes it. Current rates are at gsa.gov/mileage.

  • Long-term governmentwide contracts with commercial firms providing federal, state, and local government buyers access to more than 11 million commercial products and services at volume discount pricing. Also called Schedules or Federal Supply Schedules.

  • The standard federal agencies use to classify business establishments for the purpose of collecting, analyzing, and publishing statistical data related to the U.S. business economy.

  • A family of six separate governmentwide multiple award, IDIQ contracts for management and advisory, facilities, technical and engineering, logistics, intelligence services, research and development, environmental, and enterprise solutions.

  • A formal, signed agreement between GSA’s Public Buildings Service and a federal agency for a specific space assignment.

  • Services performed under a contract with a federal agency that include:

    • Cemetery maintenance
    • Electrical systems and energy management control systems
    • Elevator inspection and maintenance
    • Energy management and audit services
    • Fire alarm and fire suppression system maintenance
    • Janitorial
    • Landscaping and snow removal
    • Marine vessel maintenance and repair services
    • Painting
    • Pest control
    • Plumbing or pipe fitting
    • Refrigeration or heating, cooling, and air conditioning
    • Smart buildings
  • The per day rates for the lower 48 continental United States, which federal employees are reimbursed for expenses incurred while on official travel. Per diem includes three allowances:

    • A rate for lodging
    • A rate for meals
    • A rate for incidental expenses
  • An identification card that allows credentialed government personal to access facilities, computers, or information systems. May also be referred to as HSPD-12 card, LincPass, Smart Card, or CAC.

  • Furniture and equipment such as appliances, wall hangings, technological devices, and the relocation expenses for such property.

  • Information that can be used to distinguish or trace an individual’s identity, either alone or when combined with other information that is linked or linkable to a specific individual. Get our agency's privacy policies and practices as they apply to our employees, contractors, and clients.

  • You should only drive a privately owned vehicle for official travel after your agency evaluates the use of:

    • A common carrier
    • A government-furnished vehicle
    • A rental car

    When your agency has determined a POV to be the most advantageous method of transportation, you are authorized reimbursement for mileage and some additional allowances (parking, bridge, road and tunnel fees, etc.).

  • Approvals from GSA’s congressional authorizing committees, the U.S. Senate Committee on Environment and Public Works and the U.S. House Committee on Transportation and Infrastructure, for proposed capital and leasing projects that require funding over an annually established threshold.

  • Region 1 (New England): Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, Vermont

    Region 2 (Northeast and Caribbean): Northern New Jersey, New York, Puerto Rico, U.S. Virgin Islands

    Region 3 (Mid-Atlantic): Delaware, parts of Maryland, Southern New Jersey, Pennsylvania, parts of Virginia, West Virginia

    Region 4 (Southeast Sunbelt): Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, Tennessee

    Region 5 (Great Lakes): Illinois, Indiana, Michigan, Minnesota, Ohio, Wisconsin

    Region 6 (Heartland): Iowa, Kansas, Missouri, Nebraska

    Region 7 (Greater Southwest): Arkansas, Louisiana, New Mexico, Oklahoma, Texas

    Region 8 (Rocky Mountain): Colorado, Montana, North Dakota, South Dakota, Utah, Wyoming

    Region 9 (Pacific Rim): Arizona, California, Hawaii, Nevada

    Region 10 (Northwest Arctic): Alaska, Idaho, Oregon, Washington

    Region 11 (National Capital): Washington, D.C., area including parts of Maryland and Virginia

  • Formal agreements between GSA and a federal agency customer where GSA agrees to provide goods, services, or both, and the federal agency agrees to reimburse GSA’s direct and indirect costs. The customer portal for RWA information is called eRETA at extportal.pbs.gsa.gov.

  • A document used in negotiated procurements to communicate government requirements to prospective contractors (firms holding Multiple Award Schedule contracts) and to solicit proposals (offers) from them.

  • A document used to communicate government requirements, but which do not solicit binding offers. Quotations submitted in response are not offers. The Multiple Award Schedule order is the offer, and then the contractor can do something to show acceptance, like ordering supplies or contacting subcontractors.

  • An SBA program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:

    • Be a small business
    • Be at least 51% owned and controlled by one or more service-disabled veterans
    • Have one or more service-disabled veterans manage day-to-day operations and also make long-term decisions
    • Eligible veterans must have a service-connected disability
    • Permanently and totally disabled veterans who are unable to manage the daily business operations of their business may still qualify if their spouse or appointed, permanent caregiver is assisting in that management

    See Title 13 Part 128 Subpart B of the Code of Federal Regulations for more information.

  • An SBA designation for businesses that meet size standards set for each NAICS code. Most manufacturing companies with 500 employees or fewer, and most non-manufacturing businesses with average annual receipts under $7.5 million, will qualify as a small business.

    See Title 13 Part 121.201 of the Code of Federal Regulations for more information.

  • To improve and stimulate small business utilization, we award contracts to businesses that are owned and controlled by socially and economically disadvantaged individuals. We have contracting assistance for:

    • 8(a) Business Development contractors
    • Historically underutilized business zone
    • Service-disabled, veteran-owned small businesses
    • Small businesses
    • Small disadvantaged businesses
    • Veteran-owned small businesses
    • Women-owned small businesses
  • A Small Business Administration program that gives preferential consideration for certain government contracts to business that meet the following eligibility requirements:

    • Be a small business
    • The firm must be 51% or more owned and controlled by one or more disadvantaged persons
    • The disadvantaged person or persons must be socially disadvantaged and economically disadvantaged

    See Title 13 Section 124.1001 of the Code of Federal Regulations for more information.

  • The basis for the lease negotiation process, which becomes part of the lease. SFOs include the information necessary to enable prospective offerors to prepare proposals. See SFO minimum requirements.

  • Specific supply and service subcategories within our Multiple Award Schedule. For the Information Technology Category, a SIN might be new equipment or cloud services.

  • An online system at sam.gov, which the U.S. Government uses to consolidate acquisition and award systems for use by contractors wishing to do business with the federal government. Formerly known as FBO.gov, all contracting opportunities valued over $25,000 are posted at sam.gov.

  • When you use a government purchase card, such as the "GSA SmartPay" travel card for business travel, your lodging and rental car costs may be exempt from state sales tax. Individually billed account travel cards are not tax exempt in all states. Search for exemption status, forms and important information.

  • The finishes and fixtures federal agency tenants select that take a space from a shell condition to a finished, usable condition and compliant with all applicable building codes and standards.

  • A statute that applies to all Multiple Award Schedule contracts, unless otherwise stated in the solicitation or contract, which requires contractors to sell to the U.S. Government only products that are manufactured or “substantially transformed” in the U.S. or a TAA-designated country.

  • Vendors report transactional data — information generated when the government purchases goods or services from a vendor — to help us make federal government buying more effective.

    See our TDR page for which SINs are eligible and which line-item data to submit.

  • A unique number required to do business with the federal government.

  • An indicator of how efficiently a federal agency is currently using space, it is traditionally calculated by dividing the usable square feet of the space, by the number of personnel who occupy the space.

  • A Small Business Administration program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:

    • Be a small business, as defined by the size standard corresponding to any NAICS code listed in the business’s SAM profile
    • Have no less than 51% of the business owned and controlled by one or more veterans
    • For those veterans who are permanently and totally disabled and unable to manage the daily business operations of their business, their business may still qualify if their spouse or appointed, permanent caregiver is assisting in that management

    Get a full list of eligibility requirements.

  • A governmentwide acquisition contract exclusively for service-disabled veteran-owned small businesses to sell IT services such as:

    • Data management
    • Information and communications technology
    • IT operations and maintenance
    • IT security
    • Software development
    • Systems design
    • New and emerging technologies
  • The amount of solid waste, such as trash or garbage, construction and demolition waste, and hazardous waste, that is reused, recycled or composted instead of being put in a landfill or burned.

  • A GSA program designed to promote recycling and reuse of solid waste.

  • A Small Business Administration program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:

    • Be a small business
    • Be at least 51% owned and controlled by women who are U.S. citizens
    • Have women manage day-to-day operations who also make long-term decisions

    See Title 13 Part 127 Subpart B of the Code of Federal Regulations for more information.