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PLRD-82-88 1 (1982-05-06)

handle is hein.gao/gaobabmrb0001 and id is 1 raw text is: 


                    UNITED STATES GENERAL ACCOUNTING OFFICE
                                  REGIONAL OFFICE              9/1
                               Room 1992, Federal Building  Je
                               Seattle, Washington  98174


                                                            May 6, 1982

Mr. Vito T. Chiechi
Regional Administrator
General Services Administration
Region X
Auburn, Washington
Dear Mr. Chiechi:                                                    119786


     Suoject: Improvements Needed in Space Leasing
               Program (GAO/PLRD-82-88)

     As part of our review of GSA's siting of Federal agencies under
Executive Order 12072, we evaluated the relocation of ACTION and the Forest
Service in Seattle. The relocation was one of the major moves accomplished
by region X during 1980. Region X Space Management Division officials
advised us that their approach in this case was typical of the way they
lease space.

     We believe it was appropriate for GSA to attempt to obtain offers from
other property owners and not attempt to automatically negotiate a new lease
with the owners of the building where the the agencies were located. But,
we believe that region X's handling of the relocation of ACTION and the
Forest Service demonstrates a need for improvement in the region's space
leasing program. Cost was given little consideration throughout the leasing
process. Region X Space Management Division officials at supervisory and
specialist levels

     --developed an unnecessarily restrictive solicitation package,

     --rejected the only initial offer received for questionable reasons,

       and

     --gave preferential treatment to two higher cost locations in subsequent
       sole-source negotiations.

As a result, ACTION and the Forest Service were relocated to space costing
about $160,000 a year more than necessary. ACTION officials believe that
their new space is more luxurioUs and costly than warranted for their
mission and clientele. They also said that the increased space cost
diverted funds that they would have spent on operating programs and thus
the move impaired their ability to perform their mission.


(945707)

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